Daiwa: Bank of Japan Could Hike Rates in September or October

July 31st, Masahiko Loo of Oaktree Capital Management stated that the Bank of Japan may bring forward the timing of its next interest rate hike to September or October, rather than the six-month interval many had anticipated.

The strategist expects the Bank of Japan to gradually move towards a final interest rate level of 1.5% to 1.75%.

At a press conference on Friday, Bank of Japan Governor Haruhiko Kuroda expressed a high level of concern about the risk of over-tightening, stating that this risk should not be overlooked. Kuroda said, "If we judge that the financial environment is too accommodative, it is entirely possible to accelerate the pace of interest rate hikes."