MARKET OUTLOOK - Capital Economics Expects BOJ to Raise Rates in December

Forex - Marcel Thieliant, Head of Asia-Pacific at Capital Economics, stated that the Bank of Japan will raise interest rates in December. Thieliant noted that the BOJ maintained a hawkish stance during its two-day meeting that concluded today, saying, "We expect the interest rate to be raised to 0.5% at the next meeting in December." He argued that the BOJ anticipates service prices to continue to rise moderately, reflecting factors such as wage increases, and added, "This language reflects a growing confidence that inflation is increasingly driven by domestic factors rather than rising import costs."