Japan rate hike expectations lift 2-year bond yields above zero

Swaps price in end to BOJ's negative rate policy next spring

20221221N BOJ

The Bank of Japan's  headquarters in Tokyo. Ending negative interest rates would have far-reaching effects on Japan's economy. (Photo by Rie Ishii)

RYO SAEKI, HIROKO MATSUMOTO and YOSHIKAZU IMAHORI, Nikkei staff writers

TOKYO -- The yield on two-year Japanese government bonds turned positive for the first time in seven years on Wednesday, in a sign that traders anticipate an end to the Bank of Japan's negative interest rate policy.

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