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Bank of Japan set to raise interest rates to 31-year high

Market context: USD/JPY: BoJ rate hike to multi-decade high strengthens yen against dollar Bearish for USD/JPY — higher Japanese rates narrow yield differential, pushing yen higher EWJ: Japanese equities are directly impacted by BoJ monetary policy Mixed — higher rates may pressure equity valuations but signal economic strength

Why it matters

USD/JPY (US Dollar / Japanese Yen) · Why linked: BoJ rate hike to multi-decade high strengthens yen against dollar Market context: Bearish for USD/JPY — higher Japanese rates narrow yield differential, pushing yen higher

EWJ (Japan ETF) · Why linked: Japanese equities are directly impacted by BoJ monetary policy Market context: Mixed — higher rates may pressure equity valuations but signal economic strength

How EWJ usually react

This story is too recent for its own reaction record — we score each asset against the actual price move 24h after publication. These are the long-run figures across every event we have tracked for them.

AssetEventsAvg max moveClosed lower
EWJ4+0.91%50%

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