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Belly Leads The Bid

JGBS

The latest round of national Japanese CPI data was largely in line with exp., while some more details surrounding the impending state of emergency in Okinawa prefecture were given with speculation re: the extension of the state of emergency covering other regions of Japan still doing the rounds. The major cash benchmarks run little changed to ~1.0bp richer across the JGB curve, with the belly leading, while futures print +7 ticks vs. yesterday' settlement levels, operating within the confines of a narrow range.

  • An average 20-Year JGB auction was witnessed, with the low price matching dealer expectations (per the BBG survey), tail widening and cover ratio nudging higher.
  • Elsewhere, Indonesia priced Y100bn of Samurai paper.
  • 40-Year JGB supply, the latest Tokyo CPI reading and the monthly labour market report headline next week's local docket.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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