Some Bank of Japan policymakers saw conditions falling into place for an imminent rate hike, with one predicting a move “in the near future,” a summary of opinions at the bank’s December meeting showed, keeping alive the chance of a January hike.
The BOJ held interest rates steady at 0.25% at this month’s meeting, a move Gov. Kazuo Ueda explained was aimed at scrutinizing more data on next year’s wage momentum and clarity on the incoming U.S. administration’s economic policies.
“There are high uncertainties over the course of discussions on tax and fiscal policy in Japan and over the policy stance of the new U.S. administration taking office at the beginning of 2025,” one member was quoted as saying in the summary in calling for keeping policy steady at the Dec. 18-19 meeting.