Japan’s Nikkei flips to losses, yen firms as BOJ holds rates in split decision

Bank of Japan maintains interest rates. However, it signals a possible future tightening of monetary policy. This decision surprises markets. Nikkei declines, and the yen strengthens. The central bank plans to sell its ETF holdings. Japanese government bond yields rise. Investors anticipate potential rate hikes later this year. Focus now shifts to Governor Kazuo Ueda’s upcoming news conference.