[Hawkish BOJ Member Says Rate Hike Must Be Implemented Quickly, Market Bets on 25 Basis Point Hike Next Week] BlockBeats News, September 10: On Thursday, Bank of Japan Monetary Policy Committee member Ichirō Zōe stated that Japan is no longer in a state of deflation, and the central bank must promptly address the issue of real negative interest rates by further raising policy rates. He warned that if the underlying inflation rate significantly exceeds 2%, the BOJ may have to accelerate the pace of rate hikes. Currently, the market broadly expects the BOJ to raise rates by 25 basis points to 1.25% at next week's policy meeting. Some traders are even betting that the central bank might signal another rate hike in October. U.S. Treasury Secretary Besant previously remarked that he is "quite aware" of the BOJ's next steps, further reinforcing market expectations for a Japanese rate hike. Meanwhile, the yen has rebounded from its July low near 164 to around 153.5, reaching a six-month high. Stefan Angrick, Moody's Chief Economist for Asia-Pacific, believes Zōe's hawkish remarks are another signal of the BOJ's move toward rate hikes and predicts the central bank may increase the frequency of rate hikes to once every three months in the future. In the bond market, Japan's 10-year government bond yield has surpassed 3%, marking a nearly 30-year high, indicating that the market is rapidly reassessing the asset pricing impact of Japan's monetary policy normalization. [Original Link]