Bank of Japan minutes from last week's board meeting signalled the need to further raise the policy rate after officials lifted it to the highest level since 1995. One board member said, "With core CPI near 2% and financial conditions relatively loose, the central bank should continue to raise the policy rate to address current economic, inflation and financial conditions." Last week's hike was the first since December; the minutes offered no explicit timing for the next increase but strengthene

Bank of Japan minutes from last week's board meeting signalled the need to further raise the policy rate after officials lifted it to the highest level since 1995. One board member said, "With core CPI near 2% and financial conditions relatively loose, the central bank should continue to raise the policy rate to address current economic, inflation and financial conditions." Last week's hike was the first since December; the minutes offered no explicit timing for the next increase but strengthened market expectations of another move before year-end. A post-meeting economists' survey showed roughly 90% expect another hike by December, with over one-third pencilling in October. Economists now forecast the cycle peak at about 1.75%, up from 1.5% in earlier surveys this month.