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Bank of Japan Policy Overhaul To Achieve Inflation

The Bank of Japan (BoJ) taking unexpectedly steps at a meeting on Wednesday (09.21.2016), with the launch of 10-year interest rate target to increase efforts to fight deflation. This Rising Sun Country struggled to break out of the confines of deflation for two decades, deflation makes domestic consumption becomes low, and it's bad for economic growth.

Dow Jones launch, this Wednesday, the BoJ's decision took the cash rate target of 10 years following an internal review of Japan who for two years failed to achieve the inflation target of 2%. The BoJ said it would begin targeting interest rates of 10 years, with interest rates of minus 0.1% in order to trigger inflation.

Council also will buy government bonds in the long term in order to maintain 10-year bond yields draw around the current level of 0%. BoJ decision on Wednesday comes after a long assessment for several weeks.
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