BoJ Meeting To Get Underway

JGB futures shed 14 ticks in overnight trade, going out just above worst levels as the post-FOMC weakness in U.S. Tsys dragged the contract lower.

• A reminder that late Wednesday headlines from NHK suggested that Japan's government will lift the deepest restriction of Tokyo's state of emergency when it expires on 20 June, with Tokyo and 6 prefectures set to enter a so called quasi-state of emergency through July 11. The same report suggested that the state of emergency in Okinawa will be extended through July 11 owing to the local medical situation.
• Elsewhere, local wires have suggested that Japan plans to begin issuing COVID vaccine passports from July, while there have also been suggestions that Japan is set to extend its employment subsidy scheme through August.
• There is little of note on the local docket on Thursday, outside of the BoJ's 2-day policy meeting getting underway.