[Tokyo 18th Reuters]-
Although the market’s view was that there would be no change in policy, the result was within expectations, but there was a smoldering view that the volatility range would expand again. The yen reacted with a large depreciation. In the future, there are many views that the monetary easing will basically be revised, and I don’t think the yen will continue to depreciate further from here.
It is still unclear whether the expansion of joint collateral operations will improve market functions. For the time being, it is a form of expanding fund supply means, but it is uncertain whether the bond market will settle down. Despite the fact that the long-term interest rate fluctuation range was expanded to 0.5% last month, the situation has become more severe than when it was 0.25%, but this time the status quo will be maintained. I would like to pay attention to how the Governor of the Bank of Japan explains it.
