Markets & Finance · Intelligence
—The historic hike. On June 16, 2026, the Bank of Japan raised its key rate to about one per cent, the highest level in roughly three decades.
—The currency that ignored it. Despite the rise, the yen barely budged, hovering near 160 to the dollar — the weak level it had clung to for most of June.
—The reason. Even at one per cent, Japan’s rates sit far below America’s, leaving the dollar the more rewarding place to park money.
—The cost of defence. Tokyo spent roughly 11.7 trillion yen, about 73 billion dollars, propping up its currency in a single month this spring.
