The Bank of Japan kept its policy rate at 1.25% at its Oct. 29-30 meeting but strengthened the case for further tightening after underlying inflation reached levels broadly consistent with its 2% target. Several policymakers favored a prompt or faster increase and gradual normalization toward a neutral rate, while BOJ Chief Economist Seisaku Kameda said the central bank was likely to raise rates in December and continue tightening next year. Interest-rate swaps imply roughly a 70% chance of a December increase. Other officials urged caution, citing weak consumption, uncertainty over the durability of AI-related demand, the risk that previous hikes could weaken growth and inflation, and disagreement over whether next year's wage negotiations will sustain inflation near 2%. The yen slipped to around 158 per dollar despite the hawkish signals. Separately, Finance Ministry data confirmed a record ¥15.4 trillion intervention over three days in late July to support the currency.