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MNI POLICY: BOJ Cuts Scale of Longer-End JGB Buying

MNI (London)
     TOKYO (MNI) - The Bank of Japan Monday lowered the scale of its purchases
of Japanese government bonds with a remaining life of 10 to 25 years to Y140
billion from Y160 billion at the previous similar operation held Aug. 26.
     The reduction was expected by many market players and is designed to curb
the recent drop in longer-end bond yields, although the drop is consistent with
the decline in overseas yields.
     The cut is the first time since Aug. 9 when the bank lowered the scale to
Y160 billion from Y180 billion.
     The 10-year bond yield traded at -0.270% vs. -0.280% on Friday.
--MNI Tokyo Bureau; tel: +81 90-2175-0040; email: hiroshi.inoue@marketnews.com
--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com
[TOPICS: MMJBJ$,M$A$$$,M$J$$$,M$$FI$,MN$FI$]
MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com

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