The drop is also weighing on bond yields elsewhere, with 10-year Treasury yields also down 2 bps to 3.645% on the day. For now, it looks like the BOJ is managing to keep a hold of the new red line that was drawn this week at 0.50%. But let's see how things unfold once we get past the holiday season and the turn of the year.
The constant run up by the market against the previous red line at 0.25% for months eventually proved too hot to handle for Kuroda & co. so they might have to face up against such pressures again soon enough.