DBS Bank: Bank of Japan Still Likely to Raise Policy Rate in December

BlockBeats News, October 31st: Analyst Ma Tieying of DBS Bank commented that the Bank of Japan is still likely to raise its policy rate by 25 basis points in December.

This senior economist stated that it is expected that Japanese unions will set the wage negotiation target for 2026 around November to December. She said that the Japanese Trade Union Confederation has already stated that the wage growth target for 2026 is 5%, the same as this year.

The economist also mentioned that if the Federal Reserve delays a rate cut at the December meeting, the possibility of a rate hike by the Bank of Japan in December may increase, creating a window of action for the Bank of Japan. (FX168)