MNI BRIEF: BOJ Widens 10-Yr Yield Range To -0.25% to +0.25%

The Bank of Japan board on Friday decided to maintain its yield curve control policy and left policy rates unchanged but clarified for the first time in the official statement that it tolerates the 10-year yield moving in a range of plus or minus 0.25 basis point from around zero percent.

The short-term policy interest rate stands at -0.1% and the long-term interest rate target at around zero percent.

The BOJ also said it will not strictly respond to a drop below the lower limit in the day-to-day movement of the 10-year interest rate. The bank also strengthened its operational tool by introducing "fixed-rate purchase operations for consecutive days" to curb higher bond yields.