Former Bank of Japan (BoJ) board member Makoto Sakurai indicated on Tuesday that the central bank is likely to pause its quarterly reductions in government bond purchases starting next fiscal year, according to Bloomberg.
Since last summer, the BoJ has been steadily trimming bond-buying by ¥400 billion (approximately $2.8 billion) each quarter. However, mounting pressure from rising yields has made further tapering increasingly risky.
In response to these developments, the USD/JPY pair showed slight weakness, trading 0.02% lower at 142.71 at the time of writing.
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