If markets stay calm, BOJ may hold fire despite ECB’s loosening

Euronews | Sep 13, 2019 at 9:34 AM
  • Stable markets and resilient domestic demand could help the Bank of Japan withstand pressure to expand an already massive stimulus programme when policymakers meet next week in the wake of the European Central Bank’s monetary loosening.
  • Under the policy, dubbed yield curve control (YCC), the BOJ guides short-term rates towards -0.1% and the 10-year government bond yield to around 0%.
  • It also buys government bonds and risky assets in a bid to achieve its elusive 2% inflation target.