BOJ wary of 10-year bond yield target hike even if CPI reaches 1%

Tokyo

BANK of Japan (BOJ) officials would rather be late than early in raising their 10-year bond yield target from zero per cent, even if consumer price gains reach one per cent later this year, according to sources familiar with the central bank's discussions.

Officials see considerable risks in moving too quickly and are mindful of policy exits in 2000 and 2006, said the sources, who asked not to be named because the talks are private. These exits were criticised for coming too soon and prolong…