BOJ keeps policy steady, offers gloomier view on exports and output

FILE PHOTO: A man wearing a protective mask walks past the headquarters of the Bank of Japan amid the coronavirus disease (COVID-19) outbreak in Tokyo, Japan, May 22, 2020. REUTERS/Kim Kyung-Hoon/File Photo

TOKYO (Reuters) – The Bank of Japan kept monetary policy steady on Wednesday but offered a bleaker view on exports and factory output, as Asian factory shutdowns caused supply-chain disruptions for some manufacturers.

As widely expected, the BOJ maintained its short-term interest rate target at -0.1% and that for 10-year government bond yields around 0%.

“Exports and factory output continue to increase, although they are partly affected by supply constraints,” the central bank said in a statement announcing its policy decision.

In July, the BOJ said exports and output continue to increase steadily.

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