Global Market Jitters: BOJ Steady as Fed Decision Looms

The yen experienced fluctuations as the Bank of Japan kept interest rates unchanged, aligning with expectations. Investors are eying the Federal Reserve's upcoming policy meeting for insights. Meanwhile, global tensions rise with Israeli airstrikes, a stalled Ukraine ceasefire, and Germany's fiscal expansion plans reshaping European economic strategies.

The yen's fluctuations came after the Bank of Japan opted to maintain its current interest rates, a move that coincided with market forecasts. This decision was perceived as a cautious approach amid heightened global economic uncertainties.

Financial markets are now watching the Federal Reserve's policy meeting for further direction. Analysts expect no change in the rate but are eager to see the central bank's new economic projections and response to ongoing policy uncertainties.

Elsewhere, geopolitical tensions escalated as Israeli airstrikes hit Gaza. German fiscal policies signal a historic shift, potentially ushering in a new era for European economic and defense strategies.

(With inputs from agencies.)