The BOJ in July raised the cap to 1% from 0.5%. The latest statement Tuesday didn't specify any hard cap above the 1% reference line. After U.S. Treasury yields rose sharply in recent weeks due to stronger-than-expected economic data, the benchmark JGB yield was also moving closer to the central bank's 1% cap. The 10-year JGB yield hit 0.955% Tuesday morning, its highest level since May 2013. The yen fell slightly on the BOJ's decision, which didn't include a new higher JGB yield target as some had forecast.

Source: Wall Street Journal October 31, 2023 10:15 UTC