Rumour is the Bank of Japan will extend its corporate funding program at this week’s meeting

That headline comes via Japanese media, Nikkei (which does tend to get a bit of a heads up from time-to-time).

  • BOJ to extend the deadline for financing support measures for companies that support the new coronavirus
  • by about 6 months (currently scheduled to end in March 2021, so a 6 month extension would take it through to September 2021)
  • extension due to increased concerns about a downturn in the economy
Elsewhere, UBS Securities in Tokyo are expecting the BOJ to
  • emphasize policy coordination with the government
  • also an extended program through to September
Sony Financial flags a risk of a rising yen after the meeting, saying markets may perceive the BOJ extension measures as less bold than actions by other major central banks.

Bank of Japan monetary policy decision meeting is on the 17th to 18th.
That headline comes via Japanese media, Nikkei (which does tend to get a bit of a heads up from time-to-time).