Yen slides despite BoJ's 31-year-high rate hike

The Bank of Japan raised rates to their highest level in 31 years, yet the yen weakened sharply, signaling market skepticism about the policy's effectiveness or a stronger dollar. The move deviates from the typical rate-hike-yen-strengthening pattern, suggesting external factors like US yields or carry trade dynamics dominate. This matters for global FX and Japanese asset flows.