EURJPY: New developments in an unstable situation!

3 Ağu 2023

The minutes from the recent Bank of Japan meeting shed light on the reasoning behind the decision to modify their approach towards capping the yield on 10-year Japanese Government Bonds. The committee is now willing to let the yield exceed its previous limit of 0.5%, with indications suggesting that the new cap will be set at 1%, contingent upon how quickly interest rates escalate in order to reach that threshold.