Despite a downturn in consumer spending for....>

JGBS: Despite a downturn in consumer spending for the third quarter in Japan and

lower industrial production for September the 10-Year JGB is holding gains made

on the overnight, last at 150.50 in the Tokyo session, stocks are down,

supporting bonds ahead of the Monetary Policy Meeting.

- The JGB 10-Year moved in tandem with US Tsys on the overnight, ending higher

as U.S. stocks ebbed amid speculation corporate tax cuts may be phased in over 5

years (BBG.)

- Still to come on today's Tokyo session for data is Sep Japanese Vehicle

Production, Sep Housing Starts and Construction Orders and later the BOJ's

Kuroda is to speak after the Monetary Policy Meeting. 

- Barclays on MPM - "We expect current policy to remain intact by a majority

vote. One focus will be whether Policy Board member and QE advocate Kataoka, who

dissented at the previous MPM, will propose further easing in his favored policy

area. However, any room to expand QE may be limited based on JGB supply and

demand."

- Yields down across the curve within a tight range, the 10-Year down 0.3bp.