The Bank of Japan’s recent policy evolution clearly shows that policymakers are running out of options according to Deutsche Bank’s Foreign Exchange Economic’s analyst George Saravelos. In a report issued to Deutsche Bank’s clients and reviewed by ValueWalk, Saravelos writes that the BoJ’s decision to raise its inflation target beyond 2% and shift from targeting the quantity to the price of money all along the yield curve, reflects a seismic shift in policy at the bank. Unfortunately, this policy change has sent a signal to the markets that the BoJ is running out of options, rather than a proactive shift to new ... (full story)