Japan drops the bomb on 'unlimited' policy easing in 2014

As it announced the 2% inflation target.

According to BBVA Research, BoJ announces 2% inflation target and ‘unlimited’ policy easing in 2014. The target is up from the current 1% and said it will conduct open-ended asset purchases to reach the target. In particular, the BoJ will begin buying ¥13trn (US$145bn) in assets per month starting next January, including ¥2trn in government bonds and ¥10trn in treasury bills, until the inflation target is met. 

"Japan’s new government, which has been pressing the BoJ for bolder action to stem deflation, praised the move, calling the decision ‘a bold review of monetary policy, an epoch-making document.’ The market response was muted, however, due to the timing of the planned easing, as some were hoping it would begin in 2013," BBVA noted.