TOKYO: Japan’s 10-year government bond yields were off early highs on Friday, after the local media reported that the Bank of Japan is seen keeping its yield curve control (YCC) policy unchanged at its policy meeting ending later in the day.

The 10-year JGB yield was last at 0.465%, after rising as high as 0.480% earlier in the session. It closed at 0.460% on Thursday.

Benchmark 10-year JGB futures trimmed losses, falling 0.26 yen to 147.77, after falling to as low as 147.42.

The BOJ is likely to forgo modifying its YCC policy at the two-day policy meeting, the Nikkei newspaper reported The BOJ will also discuss revising its forward guidance on its future policy path and conduct an examination of its past monetary easing steps, the report said without citing sources.

JGB yields slide as bank worries resurface; BOJ meeting looms

Since assuming the office, BOJ’s new governor Kazuo Ueda repeatedly said it was appropriate to maintain the central bank’s ultra-loose monetary policy as inflation has yet to hit 2% as a trend.