2025-12-18 09:34:32

As of December 18, 2025, the Bank of Japan (BOJ) current policy interest rate is 0.5%.

The market widely expects a 25 basis point rate hike to 0.75% at this week's (December 18-19) monetary policy meeting, which would be the highest level in 30 years (since 1995).
This probability is as high as 94%-95%, with main driving factors including: Japan's core inflation remaining above the 2% target (2025 core CPI is expected to be 2.4%-2.7%).
Strong wage growth (the spring 2026 labor-management negotiations are expected to continue the high increases of 2025).
The previous yen depreciation has led to imported inflation pressures, which need to be curbed through rate hikes.

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ChainGuestShixin

· 2025-12-18 09:38

One sentence summary: Japan's interest rate hike = the "pump" for global risk assets has started. Crypto brothers, in the short term, manage leverage carefully, cash is king, and don't stubbornly hold on. After this wave of liquidations passes, then look for buying opportunities at lower prices. That's all—retail investors' blood and tears lesson: when others are raising interest rates, it's time for us to reduce positions.

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