The Bank of Japan is considering unlimited bond buying, according to Nikkei.
The BOJ has entered into final adjustments to issue additional monetary easing measures at the monetary policy meeting on the 27th, following the rapid economic deterioration caused by the spread of the new coronavirus. Purchases of government bonds to eliminate the prospect that the current year 80 trillion yen, will be discussed in a direction to buy rather than limit the amount required. With regard to commercial paper (CP) and corporate bonds issued by companies for financing, it is expected that the purchase limit will be doubled. The battle with the new Corona may be a long-term battle. The BOJ will be at the next meeting
The central bank is expected to double purchases of corporate bonds and commercial paper.
USD/JPY initially spiked higher on this. I mean, I don't even know how much more there is for the Bank of Japan to buy. I suppose the government can always issue more.
Interestingly, there was a report earlier that the BOJ was going to switch to a one-day meeting. That made it sound like they wouldn't be taking action.
In the bigger picture, USD/JPY is consolidating in preparation for a big breakout. Is this it? I don't think it is: