BOJ Maintains Ultra-Low Rates Despite Inflation Risks and Investor Impatience.

The Bank of Japan (BOJ) has decided to maintain its ultra-easy monetary policy despite stronger-than-expected inflation, signalling it will remain a dovish outlier among global central banks and focus on supporting a fragile economic recovery. The BOJ's decision contrasts sharply with that of the European Central Bank, which raised borrowing costs to a 22-year high on Thursday and signalled the likelihood of further hikes. The BOJ maintained its -0.1% short-term interest rate target and a 0% cap on the 10-year bond yield set under its yield curve control (YCC) policy.