JGB futures stuck to a tight range this........>

JGBS: JGB futures stuck to a tight range this morning, going into the lunch

break 7 ticks higher at 150.63.

- The cash curve is running flatter on the day, with swaps widening a little.

- Markets were awaiting the BoJ's MonPol decision as the space moved into the

lunch break.

- The BoJ stood pat on MonPol as expected, leaving its inflation expectations

largely unchanged (albeit 0.1% softer for FY 17 & FY18), while its growth

expectations were nudged higher.

- The BoJ removed the wording based on achieving its 2% CPI goal around FY19.

- The BoJ noted that the momentum towards achieving its 2% price target was

intact, but not sufficiently firm.

- The new deputy Governor Wakatabe didn't make any policy proposals.

- Kataoka was the sole dissenter (yet again), with the vote sitting at 8-1.

Kataoka wants the BoJ to clarify that it will ease further if domestic factors

delay the achievement of its price target.