The last time the Bank of Japan allowed an expanded range for the 10 year JGB yield tolerance band the Bank explained this was to make ultra-easy policy more sustainable. Today the BOJ set the 1% cap more firmly in place, cementing that reasoning, it looks like loose policy is set in place for still some time to come.
USD/JPY was marked higher, 1-minute bars to give you a picture of the response:
This article was written by Eamonn Sheridan at www.forexlive.com. Source