Bank of Japan steps up bond purchases
Central bank faces pressure to raise rates as yields on 10-year government bonds rise
In an effort to dampen government bond yields and bolster the yen, the Bank of Japan (BoJ) made unexpected government bond purchases on October 4. The central bank offered to purchase 675 billion yen ($4.5 billion) in five- to 10-year Japanese government bonds, according to media reports.
The BoJ first announced the extraordinary purchases on October 2. In its statement, it said “the bank will make nimble responses by, for example, conducting additional outright purchases of JGBs [Japanese
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