EL7.AI
Central BanksMedium•4 November 2026•
1 min read

BoJ Minutes Reveal Hawkish Bias for Rate Hikes Amid Oil Price Risks

Key Facts

1BoJ September minutes showed members agreed to continue raising interest rates as underlying inflation approaches the 2% target.
2Some members flagged risks from a 50% surge in oil prices since July and its direct impact on inflation expectations.
3The Japanese Cabinet Office urged caution and a careful examination of the cumulative effects of past rate hikes.

Bank of Japan BoJ September minutes showed members agreed to continue raising interest rates as underlying inflation approaches the 2% target. InvestingLive reported that some members flagged risks from a 50% surge in oil prices since July and its direct impact on inflation expectations, while the Japanese Cabinet Office urged caution and a careful examination of the cumulative effects of past rate hikes.

The BoJ maintained the interest rate at 1.25% in its decision on October 30, 2026, following a 25-basis-point hike during the September meeting. This policy stance coincides with industrial production growing by 2.2% month-on-month in September 2026, while the unemployment rate was recorded at 2.4% on October 29, 2026.

The Bank of Japan is scheduled to release its Summary of Opinions on November 9, 2026, which will provide further insight into the monetary policy outlook alongside household spending data due on the same day.