# Bank of Japan surprises the market with yield curve control tweak | snaps | ING THINK

> The Bank of Japan tweaked its yield curve control policy, keeping the 10-year cap at 0.5% while widening the trading band to plus or minus 1.0%. Tokyo inflation unexpectedly rose to 3.2% in July, which ING says forced the change.

- Date: 2023-07-28 · published 2023-07-28T12:00:00.000Z
- Category: macro · region Japan · magnitude medium
- Page: https://feedsoft.ai/events/35290-bank-of-japan-surprises-the-market-with-yield-curve-control-tweak-snaps-ing
- Commodities: [Japanese Yen (JPY per USD)](https://feedsoft.ai/c/USDJPY.md)

## Why it matters

Higher inflation pressure and a more flexible yield band point to tighter Japanese policy over time, supporting the yen and lifting global bond yields. That shift affects dollar-based commodity financing costs.

## Read by commodity

- USDJPY: bearish ▼

## Sources

- think.ing.com: https://think.ing.com/snaps/bank-of-japan-surprises-the-market-with-yield-curve-control-tweak/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.