BOJ proposes additional rate hikes 'once every few months' at June meeting, voices call for early approach to neutral rate

BOJ June meeting considers additional rate hikes at pace of once every few months The Bank of Japan, which raised the policy rate to 1.0% at its meeting on the 15th-16th, released its 'main opinions.' Multiple board members argued for 'consideration of rate hikes once every few months' and early approach to the neutral rate, while the Cabinet Office called for cautious operation. Governor Ueda also stated that 'financial conditions remain accommodative,' suggesting a continuation of gradual rate hikes. 123

Nikkei average falls 613 yen, semiconductor selling on U.S. stock decline and Fed rate hike concerns On the 24th, the Tokyo market closed with the Nikkei average down 613 yen from the previous day to 69,174 yen. Following a sharp drop in U.S. tech stocks and expectations of Fed rate hikes, semiconductor-related stocks were sold, and Nintendo hit its year-to-date low. Following the previous day's drop of 2,565 yen, profit-taking on AI stocks continued. 4567

Toyota to reduce overseas production by 100,000 units, demand falls due to Middle East situation Toyota Motor plans to reduce its overseas production from July 2026 to February 2027 by about 100,000 units from previous plans. This is due to decreased demand caused by logistics disruptions and fuel price spikes associated with the worsening Middle East situation. Domestically, it will partially compensate by increasing production of the RAV4 and Land Cruiser 250. 8