Traders bet big on Bank of Japan rate hike next week: 'It's almost certain'


the overnight index swap on Friday showed that the probability of the Bank of Japan taking action at the January 23-24 meeting was as high as 99%, a significant increase from Wednesday's 71%. Bank of Japan Governor Haruhiko Kuroda reinforced market expectations on Wednesday, and his comments pushed the yen higher. He said that the central bank will make a decision on raising interest rates next week and expressed confidence in wage growth.