The Bank of Japan (BOJ) publishes its quarterly schedule of outright purchases of Japanese government bonds (JGBs), as we head towards the second quarter of 2022.

Key takeaways

BOJ to conduct four market operations per month for 1-3-year JGBs, buy 475 bln yen at each operation (vs. 4 times in Jan-March, 450 bln yen per operation).

To conduct four market operations for 3-5-year JGBs per month, buy 475 bln yen at each operation (vs. previous 4 times, 450 bln yen per operation).

To conduct four market operations per month for 5-10-year JGBs, buy at each operation 500 bln yen (previous 4 times, 425 bln yen).

To conduct two market operations per month for 10–25-year JGBs, buy 125.0 bln yen at each operation (vs. previous 1 time, 150 bln yen).

To conduct two market operations per month for JGBs with over 25 -year until maturity, 50.0 bln yen at each operation (vs. previous 1 time, 50 bln yen).

Market reaction

USD/JPY is looking to recapture the 122.00 level, higher by 0.12% on the day. The spot hit a daily low of 121.35, with volatility on the rise thanks to the BOJ’s operations.