JP10Y
10-year JGB yields (%) monthly chart

Profit-taking time for those short on JGBs? This has been a very closely watched level in the past considering the BOJ's policies. And even after scrapping its yield curve control program, it still is. For some context, the 1% mark used to be a "reference rate" for the BOJ to conduct policy operations where necessary i.e. a cap on yields. But that has changed since March as seen here.

All that being said, the BOJ would still want to manage things accordingly and not let yields rise up too rapidly.

The fear now is that they might have missed the boat in tightening policy much further. And that would mean having to maintain more accommodative monetary policy and financial conditions. In turn, that means having to keep yields lower unless they are really that confident of raising rates further in the months ahead.