Bank Of Japan Ends 8 Years Of Negative Interest Rates, Makes A Historic Pivot

The Bank of Japan ended the most aggressive monetary stimulus program in modern history, scrapping the world’s last negative interest rate while keeping financial conditions easy for now — a dovish tone that weakened the yen after the widely expected decision. The central bank set a new policy rate range of between 0% and 0.1%, shifting from a -0.1% short-term interest rate, according to a statement after a two-day board gathering that concluded Tuesday. The BOJ also scrapped the yield curve control program while pledging to keep buying long-term government bonds as needed. It also ended its purchases of exchange-traded funds.