Markets have also focused on a speech by Ueda’s deputy last week that was widely interpreted as suggesting that conditions would now justify an increase. The yield on the benchmark 10-year Japanese government bond rose to 1.25 per cent — the highest since April 2011 — in the wake of his comments.

Bank of Japan Governor Kazuo Ueda will size up the need to raise interest rates on Friday amid heightened expectations of a hike — and barring a market shock triggered by Donald Trump’s first few days in the White House.