
BOJ Adjusts Yield Curve Control and Redefines Long-Term Rate Cap, According to Reuters
TOKYO (Reuters) – The Bank of Japan (BOJ) has once again adjusted its bond yield control, defining 1.0% as an "upper bound" with some flexibility, rather than a strict limit.
According to a statement from the central bank, the BOJ will view the 1.0% threshold for the 10-year Japanese government bond (JGB) yield as a reference point while continuing large-scale bond purchases and agile market operations.
As anticipated, the BOJ maintained a 0.1% interest rate on excess reserves held by financial institutions at the central bank, along with a target of 0% for the 10-year government bond yield as part of its yield curve control (YCC) strategy.
(Note: This article has been revised to correct a typographical error in the second paragraph.)