Despite rising pressure for gold rate hikes, the Bank of Japan (BOJ) successfully defended its key bond yield target on Monday, maintaining its pledge for ultra-loose monetary policy.
Key takeaways
“The 10-year JGB yield fell two basis points to 0.205% in early trade, after rising to 0.230% last week.“
“The BOJ said it made no purchases of the debt, as there were no offers for sale.”
This comes after the BOJ said last week it would buy an unlimited amount of 10-year government bonds at 0.25% to prevent rising global yields from pushing up domestic borrowing costs too much.
Market reaction
USD/JPY was last seen trading at 115.44, modestly flat on the day.
