BoJ Governor Kuroda: Appropriate to continue aggressive JGB purchases for now
|In the post-meeting press conference, the Bank of Japan (BoJ) Governor Haruhiko Kuroda said that it will be appropriate to continue aggressive JGB purchases for now. "If the government issues more super-long bonds, we may buy more (...) the BoJ may buy more bonds to keep yields low but the excessive lowering of super-long yields could hamper the economy," Kuroda added further.
Additional quotes:
- Expects inflation to stay in negative territory for now.
- The BoJ will maintain the 2% inflation target.
- It is possible that new measures will be needed depending on the economy.
- Options include lowering rates for yield curve control.
- Financial institutions have enough capital, liquidity at the moment.
The Japanese yen had a rather muted reaction to Kuroda’s comments. The USD/JPY pair was last seen trading in the neutral territory, around the 107.40-35 region.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.