Global Market: Tokyo Financial Exchange unveils futures to hedge BOJ rate volatility

Oct 8, 2026

Tokyo Financial Exchange will launch a futures contract linked to the Bank of Japan’s overnight call rate to help investors hedge rising interest-rate volatility. The move comes as markets anticipate further BOJ hikes, with the central bank’s policy rate at 1.25%. Growing demand for rate hedging reflects Japan’s shift away from ultra-loose monetary policy.

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