BOJ Maintains 10-Year JGB, Yield Target at About 0.000%

The transcript discusses the Bank of Japan's (BOJ) current stance on interest rate policy, highlighting the desire of financial institutions for a rise in long-term interest rates to boost profitability. However, due to the Consumer Price Index (CPI) being below the 2% target, the BOJ is cautious about tightening policy, as it could lead to yen appreciation. The transcript also touches on the nervousness of central banks about market volatility, referencing the 2013 taper tantrum. It concludes with speculation on potential future adjustments by the BOJ, which could involve fine-tuning the 10-year government bond yield, though this carries risks.

What factors are influencing the long-term interest rates in Japan according to the text?

What is the significance of the CPI in relation to the BOJ's policy decisions?

How did the market react to Ben Bernanke's comments in 2013?

What potential risks does the BOJ face if it signals a tightening policy?

When does the speaker believe the BOJ might be able to adjust its policy?