Japan’s bond market heads into a sale of policy-sensitive two-year notes Friday on a somewhat stronger footing on speculation the Bank of Japan isn’t rushing into the next rate increase.
The auction comes 24 hours after the BOJ’s first policy decision Thursday under a new government led by Sanae Takaichi, who’s seen as an advocate of relatively low rates. Governor Kazuo Ueda gave few hints about the next rate hike after the BOJ stood pat on policy, saying that the central bank isn’t falling behind the curve in the fight against inflation.