With interest rates raised for the first time in 17 years, will the Japanese stock market continue to rise?. The Bank of Japan believes that achieving the 2% price stability target in a sustainable and stable manner seems achievable, so "Yield Curve Control (YCC) and negative interest rate policies have accomplished their mission.

The normalization measures may boost market confidence. The first interest rate increase in17 years sends a strong signal that the Japanese economy is no longer in deflation. A single interest rate hike may not be enough to trigger a massive return of funds to Japan.