Trial now
RUSSIA

USD/RUB Slips, Approaches April Lows

US 10YR FUTURE TECHS

‌‌(M1)‌‌ Resistance Remains Intact

OPTIONS

Larger FX Option Pipeline

MNI BRIEF: BOJ Policy Statement To Add Clarity On ETF Buys

TOKYO (MNI)

BOJ set to offer greater clarity on EFT buys to overcome 'misunderstandings'

True
Sign up now for free access to this content.

Please enter your details below and select your areas of interest.

The Bank of Japan will likely reword the section of its statement that covers prioritized purchase of ETFs, underlining the current policy but adding a greater degree of clarity, MNI understands. The Bank will look to clarify that it stands ready to buy ETFs in size when there is a concern over higher risk premium, but note that there could be periods when there are no purchases, depending on market developments.

At present, the BOJ buys ETFs in a 'prioritized manner' but policymakers accept that the policy is misunderstood by some market players and legislators and will look to make what it refers to as a 'more lucid' explanation in the policy statement.

Former head of the Bank's markets division, Hiromi Yamaoka, told MNI recently that the BOJ's policy review would likely lead to greater clarity on EFT purchases.