Info via Reuters:

  • Bank of Japan on Wednesday amended rules for a fund-supply market operation to use it as a new tool to prevent long-term interest rates from rising too much, in a show of its resolve to maintain yield curve control (YCC) for the time being.
  • Under the amended rules, the central bank can offer funds of up to 10 years against collateral to financial institutions for both fixed- and variable-rate loans.
  • After announcing the new rules, the BOJ said it will offer five-year loans under the fund-supply operation with a duration of between Jan. 24, 2023 and Jan. 24, 2028.

JGB 10 yr yields have dropped under 0.4%, from a high above 0.5% prior to the BOJ statement earleir.

USD/JPY has hit a fresh session high circa 131.50.

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Bank of Japan Governor Kuroda press conference begins from 0600 GMT (0100 US ET)

Kuroda Bazooka meme

He's not taking prisoners.