Japan hikes interest rates to 30-year-high

TOKYO — The Bank of Japan hiked interest rates to a 30-year high on Friday and indicated more were in the pipeline as it said the economy had shown signs of improvement. The unanimous vote to lift the main borrowing rate to 0.75 percent from 0.5 percent came hours after official data showed the country’s core inflation rate held steady in November but still well above policymakers’ two percent target. The yen weakened slightly against the dollar after the widely expected announcement, which puts rates at their highest since 1995. “Japan’s economy has recovered moderately,” bank officials wrote in a report explaining the decision. “While uncertainties remain regarding the U.S. economy and the impact of trade policy in each jurisdiction, these uncertainties have declined.” As long as economic activity and prices continued to improve, they added, the bank would “continue to raise the policy interest rate and adjust the degree of monetary accommodation.” While Friday’s increase was widely anticipated by analysts, “the board’s hawkish messaging suggests that the tightening cycle has further

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