BOJ lifts the rate to 1.25%. Highest since April 1995. Vote was 7-2.

Two day meeting ended Friday. Overnight call rate up 0.25 point to around 1.25%.

Vote 7-2. Dissenters Toichiro Asada and Ayano Sato. Asada wanted to hold near 1%. Sato said the timing was wrong.

First hike in three months. Shortest gap under Governor Kazuo Ueda.

New rate starts Thursday next week. Monday through Wednesday are Japanese holidays.

Ueda presser set for 3:30 p.m. Japan time.

Board note. Risk that inflation runs above the 2% target. Energy and a weak yen.

Cycle started March 2024. Last gap between hikes was six months. This one was three.

Yen firmed after the print. JGB yields rose.

https://www.nippon.com/en/news/yjj2026091800484/

https://www.cnbc.com/2026/09/18/japan-raises-rates-30-year-high-yen-jgb.html