Free Trial

Curve Steepening Extends On Rinban Tweak

JGBS

JGB futures hold the tick away from session lows, even after the BoJ lowered Rinban purchase sizes covering 5- to 10-Year JGBS (last -29). Meanwhile, 20+-Year paper is pressured on the reduction in the size of super-long purchases, meaning that the curve steepening extends as 20+-Year benchmarks run ~10bp cheaper on the day. Note that the downtick in purchase sizes comes with 10-Year JGBs operating just over 20bp below the BoJ’s YCC cap, so the bank doesn’t have to forcefully defend its YCC cap at present.

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.