Japan holds steady on stimulus policy

JAPAN'S central bank has refrained from promising more stimulus for the world's third-largest economy despite equity and bond market turbulence in recent weeks.

The Bank of Japan said the rise in Tokyo's long-term bond yields this year was yet to pose any threat to the economy's recovery prospects.

The Nikkei share index slid 1.5 per cent on the news after the 4.9 per cent gain.

Topics:  japan

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