KUMAMOTO, Japan (Reuters) – Bank of Japan board member Hitoshi Suzuki said on Thursday the central bank did not need to be too rigid about the range in which it allows 10-year bond yields to fluctuate around its 0% target.
“We don’t need to be too rigid about the range. At times, yield moves might be somewhat extreme,” Suzuki told a news conference after meeting with business leaders in Kumamoto, southern Japan.
BOJ Governor Haruhiko Kuroda has signaled that the central bank would allow 10-year bond yields to move roughly 40 basis points around its 0% target.
Global bond yield declines briefly pushed Japan’s 10-year yield to -0.285% on Thursday, its lowest since July 2016 and well below the -0.2% level that market players perceive as the BOJ’s effective line in the sand.
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.