Yen Weakens as BOJ Lacks Clarity on Future Hikes: Analysts

The yen weakened against the dollar after the Bank of Japan offered no clear guidance on the timing of future monetary tightening, analysts said. The central bank raised its benchmark interest rate to its highest level since 1995 as expected.

Japanese government bond yields rose after the decision, with the yield on the benchmark 10-year bond climbing above 2% for the first time since 2006. The yen’s weakness accelerated after Governor Kazuo Ueda’s press conference, dropping around 0.8%.