Bank of Japan raises key rate to 1% (opens in new tab)

The Bank of Japan raised its short-term policy rate to 1% from 0.75% on Tuesday, taking borrowing costs to their highest level since 1995 in its first increase since December. The increase continues the central bank’s move away from decades of near-zero or below-zero rates. Policymakers cited inflation risks tied to higher crude oil prices, a weak yen and price increases moving through business-to-business transactions. The BOJ said Japan’s economy had recovered or was continuing to grow mode...