Almost two months have passed since the introduction of the Bank's new policy framework, and it appears to have been perceived as positive by market participants.
Looking at developments in long- and short-term interest rates, the yield curve for Japanese government bonds (JGBs) has been formed smoothly and stably in line with the guideline for market operations -- in which the short-term policy interest rate is set at minus 0.1 percent and the target level of 10-year JGB yields at around 0 percent (Chart 1).