At the Monetary Policy Meeting held today, the Policy Board of the Bank of Japan decided to modify the conduct of the yield curve control in order to improve market functioning and encourage a smoother formation of the entire yield curve, while maintaining accommodative financial conditions. Since early spring this year, volatility in overseas financial and capital markets has increased and this has significantly affected these markets in Japan. The functioning of bond markets has deteriorated, particularly in terms of relative relationships between spot and futures markets. Yields on Japanese government bonds (JGBs) ... (full story)