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MNI BRIEF: BOJ Offers Extraordinary JGB Buying Operations

(MNI) Tokyo

The Bank of Japan on Wednesday offered extraordinary government bond buying operations to curb the rise in JGB yields for the first time since Oct 24.

The bank offered to buy JPY100 billion of JGBs with a remaining life of one-three years and JPY300 of JGBs with a remaining life of five-10 years.

The 10-year JGB yield rose to 0.970%, the highest level since May 2013.

The BOJ on Tuesday maintained the yield curve control policy but scrapped a 1.0% cap of 10-year bond yield and has set a 1.0% as a reference, meaning that the bank will tolerate the 10-year yield to rise above 1%.

MNI Tokyo Bureau | +81 90-2175-0040 |
MNI Tokyo Bureau | +81 90-2175-0040 |

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