BOJ to Allow Long-Term Interest Rates to Rise Above 1%

The Bank of Japan decided at its monetary policy meeting on Tuesday to allow long-term interest rates to rise above 1%, the de facto upper limit, while maintaining large-scale monetary easing.

This is the first time since July that the BOJ has partially revised its monetary policy.

Long-term interest rates in Japan have been on an upward trend for several months. The 10-year Japanese government bond (JGB) yield jumped on Tuesday morning to 0.955%, its highest since May 2013.