BOJ’s Amamiya says central bank will buy bonds if yields rise rapidly

KYOTO, Japan (Reuters) – Bank of Japan Deputy Governor Masayoshi Amamiya said on Thursday that the central bank would purchase government bonds “promptly and appropriately” if yields rose rapidly.

“The target level of long-term yields remains at around zero percent,” Amamiya said in a speech to business leaders in Kyoto, western Japan. “The BOJ does not expect the level of yields to ratchet up.”

Japanese bond yields hit a 1-1/2-year high on Thursday as investors continued to test the limits of the central bank’s new commitment announced two days ago to allow debt markets to move more freely.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.