Morgan Stanley Sees Bank of Japan on Hold Through 2026

BY MT Newswires | ECONOMIC | 08/27/25 08:05 AM EDT

08:05 AM EDT, 08/27/2025 (MT Newswires) -- The Bank of Japan also remained on hold at the July policy meeting and Morgan Stanley sees the BoJ on hold through 2026.

To get a hike this year, the bank suspects there is a need for the implementation of the United States-Japan trade agreement to remove uncertainty and boost activity, or for the yen (JPY) to weaken immediately and drive higher core inflation.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

fir_news_article