Central Banks
Yen Weakens as BOJ Sticks With Ultra-Low Rates Policy Path
- Central bank keeps negative rate, and 0.25% cap on yields
- Decision follows Kishida announcing spending of $200 billion
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The Bank of Japan stood by its ultra-low interest rates amid fresh government support, pushing back against lingering market speculation it will adjust policy as it continues to predict inflation will cool below 2% next year.
Governor Haruhiko Kuroda and his board left their negative rate, 10-year yield cap and asset purchases unchanged at the end of a two-day policy meeting Friday. The result was in line with the view of 49 economists surveyed by Bloomberg.