Japanese stocks rally, yen falters as BOJ rate hike bets fade

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Japanese stocks rally, yen falters as BOJ rate hike bets fade

SYDNEY - Japanese stocks jumped and the yen fell on Thursday as the risk of further tightening in monetary policy this year faded, while the sizzling rally in Hong Kong's share market took a breather.

"Put together, I guess it is a comprehensive boost for the dollar/yen because for me it has taken rate hikes off the table for 2024... More likely we're talking about next tightening isn't going to be until 2025," said Tony Sycamore, analyst at IG. Overnight, Wall Street was mostly flat, though Treasury yields rose after a strong private payrolls report added to evidence of a healthy U.S labour market, lessening the risk of a big downside miss for Friday's non-farm payrolls data.

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