Relax, the Bank of Japan isn’t tapering—yet!

• January 9, 2018
• realestatelife
• Announcements, Business & Markets, Real Estate, Real Estate Finance

The Bank of Japan’s decision Tuesday to reduce the amounts of government bonds it buys as part of its quantitative easing efforts sent the yen and Japanese bond yields higher. But analysts warned investors not to get ahead of themselves, calling the move more of a technicality than a tapering.

The central bank cut its purchases of Japanese government bonds, known as JGBs, expiring within 10-25 years and those maturing in 25-40 years by ¥10 billion ($88.8 million) each. And based on the market reaction of a strengthening yen against the dollar and the euro , and higher Japanese yields, it might have looked like a tapering.

But economists and analysts played down the move.