Japanese Equities Climb After Fed Rate Cut

MT Newswires Live
Dec 11

Japanese stocks climbed on Thursday, mirroring overnight gains on Wall Street, after the Federal Reserve cut interest rates.

The Nikkei gained 215.6 points or 0.4% to open higher at 50,818.39.

The Federal Reserve's decision to cut rates by a quarter point to a range of 3.5%-3.75%, passed with a 9-3 vote on Wednesday, while the forecast of only one more cut in 2026 was maintained.

In other news, Bank of Japan Governor Kazuo Ueda may be prepared to raise interest rates to four times through 2027, Bloomberg News reported on Thursday, citing a former executive director Hideo Hayakawa in an interview.

Hayakawa stated that the central bank is likely concerned it is "completely behind the curve" and further speculated that following an expected hike next week, Ueda would signal that additional monetary tightening lies ahead.

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