HALISTER1: BOJ Targeting 0% With Yield Curve Control Is Credible: Redward

BOJ Targeting 0% With Yield Curve Control Is Credible: Redward

(Bloomberg) -- Bank of Japan’s policy of yield curve control is credible and the central bank has ample scope to vary purchases of JGBs to achieve its 10-year bond yield target, Peter Redward, principal at Redward Associates, says in an interview.
  • It is possible in extreme conditions for 2-year versus 10- year yield curve to invert, says Redward
  • However, it’s more likely that relative-value activity from fixed income investors and BOJ purchases will help to normalize JGB curve: Redward
  • 10-year JGB yield steady at 0.015%
  • BOJ announces first fixed-rate bond-buying operation; story here
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

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Peter Redward (Redward Associates Ltd)

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