BOJ Move Is a Tide Change, Apollo's Slok Says

The video discusses the Bank of Japan's (BOJ) significant policy shift, allowing GGB yields to rise, which marks a tide change rather than a mere tweak. This decision has major implications, especially since Japan is the largest holder of U.S. Treasuries. The potential reallocation of Japanese investments from U.S. fixed income markets to domestic JGBs could impact U.S. interest rates. The BOJ's move is not seen as tightening or normalization but a necessary step due to high inflation and low liquidity in JGB markets. The BOJ's ownership of over 50% of JGBs made the previous yield curve control unsustainable.

What does the phrase 'the train has left the station' imply in the context of the Bank of Japan's recent policy changes?

In what ways does the liquidity in JGB markets impact the Bank of Japan's policy decisions?