FOCUS: BOJ poised for more interest rate hikes as markets ponder neutral levels

TOKYO - With no clear sign of an end to the Bank of Japan's cycle of interest rate increases, economists are expecting more hikes next year to levels that could usher in a new phase of monetary policy.

As Japan's core consumer price index has stayed above the BOJ's inflation target of 2 percent for more than three and a half years, most economists are forecasting another increase in the overnight call rate to 1.0 percent in July, with some expecting it to be pushed up to 1.25 percent around the end of 2026.