Year: 2025

The IPO by the firm jointly owned by India’s ICICI Bank and UK’s Prudential, was priced at 2,165 rupees per share at the upper end of the price band.

Gold prices fell in United Arab Emirates on Friday, according to data compiled by FXStreet.

• Japanese markets are volatile, adjusting to the BoJ rate hike – wary eye now BoJ Gov Ueda
• More detail on Bank of Japan decision to raise rates by 25bp to the highest in 30 years
• Bank of Japan hikes its short term rate by 25bp to 0.75%, as expected
• Toyota to sell U.S.-made vehicles in Japan to ease trade tensions
• Japan finance minister flags fiscal sustainability, debt reduction focus
• EU seals €90bn financing deal for Ukraine for 2026–27 – long-term funding plan for Ukraine
• EU moves toward budget-backed loan for Ukraine – EU leaders agree in principle
• Trump admin reviews Nvidia AI chip sales to China – Trump backs chip sales to China
• PBOC sets USD/ CNY reference rate for today at 7.0550 (vs. estimate at 7.0378)
• Australia private sector credit growth steady in November
• Goldman Sachs expects the BoE to cut rates by 25bp in March, June and September 2026
• UK consumer confidence rises in December but remains deeply pessimistic
• Japan core CPI holds at 3.0% in November, reinforcing BoJ outlook
• Goldman Sachs says U.S. CPI unlikely to move Fed policy outlook
• Tesla Cybercab reportedly spotted testing on public roads in Austin (Bullish!)
• Japan should consider nuclear weapons – source shaping security policy in government
• New Zealand records November trade deficit as imports exceed exports (d’uh 😉 )
• investingLive Americas market news wrap: Big drop in US CPI sparks confusion

The main focus during the session was the Bank of Japan policy decision. As expected, the BoJ raised its short-term policy rate by 25 basis points, from 0.5% to 0.75%, delivering exactly what markets had priced.

The Bank had previously lifted rates back in January, and today’s move, taking the policy rate to its highest level in three decades, neatly provides the other bookend for the year. Together, the January and December hikes frame 2025 as the year Japan decisively stepped away from its ultra-easy monetary past, albeit cautiously.

In the lead-up to the announcement, the yen softened modestly, though moves were contained. Immediately after the decision, the initial reaction was a brief, shallow bout of yen strength before the currency weakened again. USD/JPY pushed above 156.10, before pulling back toward 155.85 as liquidity thinned and attention shifted to guidance rather than the hike itself.

The key takeaways from the BoJ statement were familiar but important. Policymakers stressed that real interest rates remain significantly negative and that monetary conditions remain accommodative, despite the higher policy rate. The decision was approved by a unanimous vote, though the statement revealed differing views on inflation dynamics.

Board member Takata opposed the description of the inflation outlook, arguing that CPI, including underlying measures, has already broadly reached the price stability target. Separately, board member Tamura objected to the wording on underlying inflation, saying it is likely to be broadly consistent with the target from the middle of the projection period. Neither member formally dissented from the rate decision.

The Bank reiterated that it will continue to raise the policy rate if the economy and prices evolve in line with forecasts, signalling conditional openness to further tightening.

In rates markets, JGB yields remain elevated, with the 10-year yield touching its highest level since May 2006.

Elsewhere, major FX pairs were subdued, trading in largely rangebound conditions as the session drew to a close.

Asia-Pac
stocks took their lead from an improved Wall Street:

• Japan
  (Nikkei 225) +1.14%
• Hong
  Kong (Hang Seng) +0.65%
• Shanghai
  Composite +0.5%
• Australia
  (S&P/ASX 200) +0.5%

Next up, Bank of Japan Governor Ueda press conference at 0630 GMT / 0130 US Eastern time:

This article was written by Eamonn Sheridan at investinglive.com.

AUD/JPY extends its winning streak for the third successive session, trading around 103.00 during the Asian hours on Friday.

AUD/JPY extends its winning streak for the third successive session, trading around 103.00 during the Asian hours on Friday.

Silver price (XAG/USD) falls to around $64.95 during the Asian trading hours on Friday. The white metal retreats after hitting a record high in the previous sessions as traders book profits.

Silver price (XAG/USD) falls to around $64.95 during the Asian trading hours on Friday. The white metal retreats after hitting a record high in the previous sessions as traders book profits.

Summary

• BoJ raised rates to 0.75% as expected
• Yen reaction weaker, but muted without guidance surprise
• Gradual policy normalisation remains base case
• JGB yields have risen, 10yr to highest since May 2006

The Bank of Japan raised its short-term policy rate to 0.75%, the highest level in three decades, delivering another milestone in its gradual exit from ultra-loose monetary policy. The 25 basis point hike, approved by a unanimous vote, was widely expected and had been fully priced by markets ahead of the decision.

With little surprise in the move itself, market attention quickly shifted to Governor Kazuo Ueda’s press conference and the outlook for further tightening. Several market participants noted that the rate increase alone was unlikely to generate sustained moves across currencies or rates without clearer forward guidance from the central bank.

The yen initially strengthened very small following the announcement but quickly gave back those gains, a move attributed by some to thin liquidity conditions amplifying short-term price action rather than a change in fundamentals. A number of analysts argued that a durable recovery in the yen would require a combination of more assertive BoJ guidance, credible fiscal discipline from policymakers and a more supportive external backdrop, particularly a softer U.S. dollar.

Others emphasised that the BoJ is likely to remain gradualist in normalising policy, given Japan’s long history of near-zero rates and the economy’s sensitivity to higher borrowing costs. From this perspective, the central bank is expected to signal future changes well in advance, reducing the risk of disruptive market reactions.

In credit markets, some participants expect Japanese corporates to increasingly seek funding in offshore U.S. dollar markets rather than domestically, potentially lifting issuance volumes. However, they noted that any pressure on credit spreads could be offset by solid economic growth, strong corporate balance sheets and sustained investor demand for Japanese credit.

Rates strategists largely downplayed the impact on Japanese government bonds, arguing that supply-and-demand dynamics — including issuance patterns — are likely to remain the dominant driver rather than macro policy shifts. With much of the expected terminal rate already priced in, further JGB weakness may be limited.

Looking ahead, opinions diverge on the yen’s medium-term path. Some see scope for renewed weakness as carry trades reassert themselves, while others argue that Fed easing and higher hedging ratios by Japanese investors could support the currency over time. For now, markets await further clarity from Governor Ueda on how cautiously the BoJ intends to proceed into 2026 and beyond.

This article was written by Eamonn Sheridan at investinglive.com.

The suspected killer, Claudio Manuel Nueves Valente, 48, was a graduate students in physics at Brown University in the early 2000s.

The hike comes against the backdrop of rising inflation and a weak Japanese economy.