BOJ Is Said to See Good Reasons to Oppose Bond Market Action

Bank of Japan officials see several reasons against intervening in the bond market even after benchmark yields hit the highest level since 2008, according to people familiar with the matter, elaborating on the thinking behind recent remarks from Governor Kazuo Ueda.

Speaking in parliament Wednesday, Ueda indicated he has little problem with the recent rising yield trend, as it reflects the market’s view on Japan’s economy and inflation and shifts in interest rates overseas. The BOJ is broadly aligned with those views, he said.