• BOJ is considering extend two lending programmes set to expire in March in a bid to stoke inflation according to BBG sources
  • BOJ likely to push back deadline to apply for facilities by one year
  • no decision made yet on whether to make other changes
  • decision expected between now and end of March 16-17 policy meeting
  • BOJ had extended JPY 5.8trln in credit as of Dec 5 through the Growth Support Funding Facility under which it can make as much as JPY8trln in Japanese currency loans and $12bln in$ loans
  • under the Stimulated Bank Lending Facility, which has unlimited capacity, BOJ had extended JPY 19 trln of credit as of Dec 16

Kuroda still seemingly throwing the kitchen sink at boosting inflation

USDJPY 117.75 on higher Nikkei