Ex BOJ dep gov on Reuters.

Note corrected rate in header after Reuters reposted.

  • further rate cuts, extending JGB duration are both options if BOJ needs to ease again
  • difficult for BOJ to increase JGB purchase amount because would be buying JGBs at a loss
  • yields, deposit rates and mortgage rates have fallen very quickly, bound to have impact on economy

USDJPY back above 118.00 on general $ demand

Offers into 118.25 and more at 118.50 with $1.8bln of option expiries there today.