The spotlight may have been on other major central banks this week but the BOJ has been struggling for the most part in trying to maintain its yield curve control in the past few days. Any suggestions of a policy pivot would have undermined their efforts and put further pressure on JGBs.

The Japanese central bank stuck to its guns as the last remaining major central bank still fighting the good fight. That has seen 10-year JGB yields fall to 0.227%, which will be a relief for policymakers after having strayed offside from their implicit cap of 0.25% this week.

The yen has also turned weaker as a result of the policy decision, with bets of a policy surprise being scaled back. As long as the BOJ continues to throw the kitchen sink in trying to defend its dovish stance, it is still tough to bank on the yen to sustain gains.