The Bank of Japan has raised its policy interest rate to 1.25%, the highest level in 31 years, as it seeks to counter inflation pressures driven by energy costs. The move follows a June increase to 1%, with inflation now running close to 2%. The central bank said it is concerned prices could rise further.

A California federal court has begun hearing a multistate lawsuit accusing Meta Platforms of designing Facebook and Instagram in ways that harmed teenagers. Meta has said potential civil penalties could reach $US1.4 trillion ($1.9 trillion), while state attorneys general have suggested the amount could be closer to $US200 billion ($282 billion). The case dates to a 2023 lawsuit that followed a multistate investigation into the apps’ impact on young users. In March, a Los Angeles jury ordered Meta and Google to pay $US6 million ($8.5 million) to a 20-year-old woman who said she became addicted to Instagram and YouTube as a child.