Yen bounces back after BOJ status quo on QE

London

THE yen surged by more than one per cent against the dollar on Wednesday after the Bank of Japan (BOJ) left its stimulus programme unchanged, as speculators who had anticipated more easing unwound bets on a weaker currency.

The BOJ held off from expanding its massive bond-buying despite cutting next year's inflation forecast in the wake of slumping oil prices, opting instead to expand a loan scheme aimed at boosting lending.