Asia-Pacific markets were set to rise Friday as investors looked toward the Bank of Japan decision coming out later in the day.
The decision could see rates raised to 0.75% — the highest since 1995 — with data from LSEG showing an 86.4% probability of a hike by the Bank of Japan.
A rate hike will likely strengthen the yen against the greenback and contain inflation, which has run above the BOJ’s target for 44 straight months.
Japan’s consumer inflation rate dropped to 2.9% in November, government data showed Friday. Core inflation, which strips out prices of fresh food, remained unchanged from 3% in October, and came in line with Reuters-polled economists’ average estimate.
Australia’s S&P/ASX 200 rose 0.56% in early trade.
