Japanese Shares Climb With Focus On BOJ Bond Tapering Plans

Japanese stocks jumped on Tuesday as traders ramped up their bets ahead of crucial upcoming events, including Japan’s central bank meeting.

The Nikkei 225 gained 0.15%, or 57.32 points, to close at 38,525.95.

On Wednesday, the BOJ will outline plans to taper bond purchases and consider the timing of its next interest rate hike, marking a shift from a decade of aggressive stimulus.

This decision comes as the US Federal Reserve weighs a potential rate cut in September, which could impact the yen’s recent recovery.

The BOJ will also deliberate on raising short-term rates from 0-0.1%, a decision that could be contentious as policymakers remain divided on how long to analyze data before acting.

The yen, which recently rebounded from a 38-year low of 161.96 per dollar, is currently trading at 153.95 per dollar.

Japan’s seasonally adjusted unemployment rate decreased to 2.5% in June from 2.6% in May, indicating labor market stability amid economic uncertainties.

Source : MT Newswires