Investors have been closely monitoring the timing of changes in the Bank of Japan‘s (BoJ) monetary policy. In this report we examine the anticipated range of long-term interest rates in Japan, specifically the10-year Japanese Government Bond (JGB) yield, after a change in monetary policy using the “Fisher’s equation” (i.e., nominal interest rate = real interest rate + inflation rate).
pdf AMO Insight Examining the upside potential for long term interest rates in Japan
Written by Takahiro Nakano, Strategist, Asset Management One Co., Ltd