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Closer Look at Nikkei's BoJ Piece

BOJ

Taking a closer look at the Nikkei BoJ piece, they write that:

  • BoJ could potentially allow "10-year Japanese government bond yields to rise above 1%"
  • "likely to more flexibly conduct its JGB purchase operations", and aim to deter "speculators from targeting the upper limit"

Our Policy team wrote last week that an "option is that the BOJ maintains the cap at 1.0%, but tolerates a move in a range of +/-0.5 pp." - which may fulfil some of the conditions outlined in today's piece

  • In terms of timings, The BoJ decision is due during the Tuesday Asia session - the last three rate decisions were released at 2247ET, 2328ET and 2252ET, with Ueda's press conference following at 0231ET.
  • Read more in the full MNI BoJ Preview here: https://roar-assets-auto.rbl.ms/files/56559/BOJ%20...

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