CNBC Daily Open: BOJ ups rate to 0.25%; U.S. stocks fall; Starbucks' same-store sales decline

This report is from today's CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe  here .

Bank of Japan
Japan's central bank lifted its benchmark interest rate to "around 0.25%" from the previous range of 0% to 0.1%, narrowing the rate differential with the U.S. Federal Reserve which had pressured the yen. The Bank of Japan also outlined plans to taper its bond buying program, and said it will continue to raise rates barring a change in economic conditions.

U.S. stocks fell
The S&P 500 and the Nasdaq Composite closed lower on Tuesday as tech weighed on the two stock indexes and investors awaited quarterly earnings from megacaps Meta, Apple and Amazon later this week. The broad market index retreated 0.5%, while the Nasdaq Composite tumbled 1.28%. The Dow Jones Industrial Average, with less exposure to tech, gained 0.5%. Nvidia pulled back 7% and Microsoft fell 0.9% during the normal session before reporting earnings after the bell. Treasury yields slipped while gold climbed ahead of this week's Fed meeting. U.S. oil prices U.S. oil prices fell amid concerns about China's economy.

Cloudy for Microsoft
Microsoft lost as much as 7% in after-hours trade as results from its cloud business disappointed the Street. Cloud revenue grew 29%, but fell short of consensus for the first time since 2022. Still, Microsoft beat estimates as quarterly revenue increased 15% from a year ago to $64.73 billion and net income rose to $22.04 billion. Microsoft told staff it will pay a one-time performance-based cash award of up to 25% of annual bonus to rank-and-file employees.

Starbucks miss
Starbucks'