BOJ to Mull Pace of Bond-Buying Cutbacks After Market Meetings

BOJ to Mull Pace of Bond-Buying Cutbacks After Market Meetings

The Bank of Japan will sound out market participants this week to gauge their views on how aggressively it should proceed with quantitative tightening as yields surge nearly a year after it began scaling back its huge bond purchases.

The Bank of Japan is caught between responding to their weak economy (stimulus ) or torching the yen carry trade to protect their currency by raising rates.

Black Swan watch. #BOJ The Bank of Japan is caught between responding to their weak economy (stimulus ) or torching the yen carry trade to protect their currency by raising rates. pic.twitter.com/zuMWIKAsMb — Edward Dowd (@DowdEdward) May 16, 2025

Bank of Japan to keep hiking rates if economy rebounds from tariff hit: deputy governor

The Bank of Japan will continue to raise interest rates if the economy rebounds from an expected hit from higher US tariffs, the central bank’s deputy governor Shinichi Uchida said, while warning of a highly uncertain outlook.

BoJ’s Uchida: Will keep raising rates if economy, prices improve in line with our forecast

Bank of Japan (BoJ) Deputy Governor Shinichi Uchida said on Tuesday that the central bank “will keep raising interest rates if economy, prices improve in line with our forecast.”