The Bank of Japan is poised to decide to end its yield curve control and purchases of risk assets as well as call time on negative interest rates Tuesday, Nikkei reports.
This will come along with ending negative rates, something that Nikkei reported on Friday.
A leading proposal would raise the current short-term policy rate target of minus 0.1% to between zero and 0.1%.
It’s tough to gauge exactly what the market has priced in for the decision lately but there have been an abundance of leaks and USD/JPY dipped on this headline and then bounced back so I think it’s +85% priced in.
This article was written by Adam Button at www.forexlive.com. Source