BOJ leaves policy unchanged, as expected

Bank of Japan policy statement leaves main policy planks as they were:

• short-term rate target at -0.1%
• 10JGB yield Yield A yield represents the earnings generated by an investment or security over a certain time period. Yields are typically displayed in percentage terms and are in the form of interest or dividends received from it.These figures do not include the price variations, which separates it from the total return. Consequently, a yield applies to various stated rates of return on stocks, fixed income instruments such as bonds, and other types of investment products.Yields can be calculated as a ratio or as A yield represents the earnings generated by an investment or security over a certain time period. Yields are typically displayed in percentage terms and are in the form of interest or dividends received from it.These figures do not include the price variations, which separates it from the total return. Consequently, a yield applies to various stated rates of return on stocks, fixed income instruments such as bonds, and other types of investment products.Yields can be calculated as a ratio or as Read this Term target around 0%

The Bank of Japan does say it'll be conducting fixed-rate operations every day.

• will offer to buy 10 year JGBs at 0.25 every business day via fixed rate operation unless it is judged highly likely that no bids will be submitted

This confirms the BOJ 0.25% ceiling for 10yr JGBs

The Bank says it will ease policy without hesitation as needed with eye on pandemic impact, while striving to sustain market stability and support corporate funding

Forecasts from the Bank:

• core CPI median forecast for fiscal 2022 at +1.9% vs +1.1% in Jan
• core CPI median forecast for fiscal 2023 at +1.1% vs +1.1% in Jan
• core CPI median forecast for fiscal 2024 at +1.1%

The Bank of Japan has very firmly reiterated it'll keep monetary policy loose. They will not be tightening any time soon. It revised its near term inflation forecasts up but does not expect it'll be sustained. The Bank says it is committed to getting to its 2% inflation target and will keep policy loose. There had been concerns the Bank would waver given the pressure it under politically from the dropping yen. Kuroda not having any of that. He's said as much over and over again.