S&P/JPX JGB VIX kicked off the month with a muted tone as the Bank of Japan (BoJ) performed an unlimited fixed rate buying operation on February 2nd to reverse the trend of rising longer-dated yields.
The JGB VIX Newsletter is a monthly series of market commentary
on Japanese markets and monetary policy through the lens of JGB volatility.
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Despite the general downtrend, the S&P/JPX JGB VIX got a strong intra-month boost, as 10-Year U.S. Treasury Bond yields approached the symbolic 3% level and global inflationary pressures caused JGBs to weaken.
S&P/JPX JGB VIX started the month off with a jolt from Bank of Japan (BoJ) Governor Haruhiko Kuroda’s comments regarding a possible exit from current monetary policy in fiscal year 2019.