Vanguard Group Inc.’s Ales Koutny says the market is underestimating just how hawkish the Bank of Japan will need to be this year to boost the beleaguered yen. The asset manager’s head of international rates sees the central bank’s benchmark reaching 0.75% by year-end, from a range of 0% to 0.1% now, with a quarter-point hike as soon as June. In contrast, the market has priced in just 22 basis points of additional hikes by the end of the year, swaps indicate. His view aligns with that of fellow bond giant Pacific Investment Management Co., which also sees three quarter-point hikes in the cards this year. Japan ... (full story)