ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
Capital Markets

BOJ likely to hold steady on the buying of shorter-dated JGBs

Yield curve flattens as rates move closer to central bank's targets

TOKYO -- Market players increasingly believe it is likely that the Bank of Japan will maintain its level of purchases of short- and medium-term Japanese government bonds for now, as their yields continue to move toward where the bank wants them to be.

The BOJ has reduced its buying of short- and medium-term JGBs since March in response to tight demand. Even with the scaled-back central bank purchases, short- and long-term interest rates dropped on some occasions, affected by geopolitical uncertainties stemming from such events as the French presidential election.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more