# Bank of Japan ramps up battle to defend yield cap even as weakening yen raises economic risk

> The BOJ intensified its defense of the 0.25% yield cap with heavy bond buying, pushing the yen to six-year lows against the dollar. Raw material import costs are already soaring, adding strain to households and retailers.

- Date: 2022-03-29 · published 2022-03-29T12:00:00.000Z
- Category: macro · region Japan · magnitude medium
- Page: https://feedsoft.ai/events/42476-bank-of-japan-ramps-up-battle-to-defend-yield-cap-even-as-weakening-yen-raises
- Commodities: [Japanese Yen (JPY per USD)](https://feedsoft.ai/c/USDJPY.md)

## Why it matters

A weaker yen makes dollar-priced imports such as feed grains and energy more expensive for Japanese buyers. The currency effect can raise landed feed costs even when US futures are flat.

## Read by commodity

- USDJPY: bullish ▲

## Sources

- reuters.com: https://www.reuters.com/world/asia-pacific/boj-ramps-up-battle-defend-yield-cap-2nd-day-intervention-2022-03-29/

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