The Bank of Japan (BOJ) surprised markets by maintaining its benchmark interest rate at 0.25%, defying expectations of a hike. This decision comes as other major central banks, like the US Federal Reserve, are adjusting their monetary policies. The move has implications for the yen and Japanese markets.
Japanese stocks are expected to soar in the coming months, with the Nikkei 225 projected to reach new record highs. According to analysts at UBS, the Nikkei is poised to close the year at 45,000 points, while the TOPIX index is set to hit 3,120 points. Export-oriented businesses are expected to lead the market rally, and the yen is predicted to continue its downward trend.
Asian stock markets followed Wall Street’s lead on Wednesday, with Tokyo’s Nikkei 225 surging over 2% due to gains in semiconductor stocks. Shanghai Composite and Hang Seng climbed, while Australia’s ASX 200 saw modest gains after a report on decelerating inflation. U.S. futures rose, while oil prices edged higher.
Asian stocks mostly rose on Tuesday, tracking a partial recovery in US equities, while oil prices gained. The Nikkei 225 in Japan edged up 0.3%, while the Hang Seng in Hong Kong advanced 1.6%. However, the Shanghai Composite index in mainland China slipped 0.8%. In the US, futures contracts were mixed, with the S&P 500 futures down slightly. Meanwhile, oil prices rose, with US crude benchmark gaining 16 cents and Brent crude rising 18 cents per barrel.
Japan’s Nikkei 225 index ended higher on Tuesday due to gains in mining, chemical, petroleum, plastic, and warehousing sectors. Osaka Gas, NTT Data, and Tokyo Gas were the notable gainers, while Toho, Kansai Electric Power, and Denso recorded losses. Overall, advancing stocks outnumbered falling ones on the Tokyo Stock Exchange, and the Nikkei Volatility index reached a 52-week high. In commodities markets, crude oil and Brent oil prices edged higher, while gold futures declined.
