Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
The Bank of Japan on Wednesday raised its unsecured overnight call loan rate to 0.25% from a range of zero percent to 0.1%, the first rate hike since March when the BOJ ended the negative interest rate policy.
The BOJ also decided to lower its purchase of JGBs by JPY400 billion quarterly. The scale of JGB buying will fall to JPY2.9 trillion monthly by Q1 2026. (See chart)
“The bank judged it appropriate to adjust the degree of monetary accommodation from the perspective of sustainable and stable achievement of the price stability target of 2%,” the BOJ said in a statement. “Real interest rates are expected to remain significantly negative after the change in the policy interest rates, and accommodative financial conditions will continue to firmly support economic activity.”
MNI reported the BOJ would likely reduce its JGB buying. (See MNI BOJ WATCH: Cut To JGB Buys; Close Rates Decision)
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.