Coiling Ahead Of Supply

JGB yields sit 0.5-1.5bp richer across the curve, with futures hitting the lunch break 6 ticks above settlement levels, after sticking to a 6 tick wide range during the Tokyo morning, looking through local news flow.

• A reminder that the Nikkei reported that the Tokyo Metropolitan Government is making final arrangements to raise its alert to the highest of four levels to warn the coronavirus is spreading.
• Another Nikkei report suggested that Japan's ruling government is considering a plan to spend a combined Y12tn in five years FY21 for "disaster-proof infrastructure."
• Japanese Finance Minister Aso later noted that the country will continue to target a balanced budget by the end of FY25.
• BoJ Governor Kuroda offered little new in his latest address, playing down the impact of the recent Special Deposit Facility tweak re: the broader direction of monetary policy.
• 20-Year JGB supply is slated for this afternoon, with nothing in the way of notable concession witnessed this morning.