Bank of Japan emphasizes need to keep current monetary policy
The Bank of Japan emphasized the need to maintain its current monetary policy, including leaving the yield curve control unchanged, according to the Summary of Opinions from its last meeting published Thursday.
“The Bank needs to continue with the current yield curve control, considering the outlook that it will take time to achieve the price stability target of 2 percent in a sustainable and stable manner,” the release said, reiterating its unchanged stance on its inflation target.
The central bank continued its operations to purchase Japanese government bonds in response to upward pressure on yields. The Nikkei reported earlier this week that the BOJ disclosed holding technically more than 100% of several key 10-year JGBs – or running higher than the issuance amounts.
“There has been upward pressure on long-term interest rates, and the distortions on the yield curve have…