BOJ to conduct unscheduled bond buying operation to tamp down rates

  • The Japanese central bank offers to buy ¥300 billion in JGBs outright from 2 October

This comes as Japanese yields continue to nudge higher all through this week, with 10-year JGB yields touching 0.77% today:

JGB10Y
10-year JGB yields (%) daily chart

Since the BOJ allowed for yields to roam above the 0.50% mark, bond sellers haven't really let up and I reckon that policymakers still want to manage expectations somewhat so as to not let it roam towards the 1.00% mark too quickly.

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