FX.co ★ Japan 10-Year Yield Steady After BOJ Minutes

Japan’s 10-year government bond yield lingered around 1.65% on Thursday, maintaining its position near 17-year highs following the release of the Bank of Japan’s July meeting minutes. These minutes indicated that policymakers remain inclined to increase interest rates if economic conditions and inflation evolve as anticipated. In its September session, the Bank of Japan decided to maintain the current rates, though the decision saw dissent from two members, highlighting the potential for future tightening measures. Attention now turns to the Tokyo inflation report due on Friday, a critical indicator of nationwide price trends that could influence the policy outlook. On the political front, the ruling Liberal Democratic Party is set to elect a new leader on October 4 to replace the outgoing Prime Minister, Shigeru Ishiba.