Free Trial

Futures continued to fade after the early......>

JGBS: Futures continued to fade after the early shunt higher at the Tokyo
re-open, even after the BoJ upped the size of its 5-10 Year BoJ Rinban
purchases, with the global risk dynamic slowly reversing some of the impetus of
any local "bargain hunting" after the recent sell off.
- Contract last -18 ticks vs. settlement levels, still off overnight lows.
- 20- & 30-Year LCH/JSCC spreads are stable today after foreign paying seemingly
helped to drive long end swaps and JGB yields higher earlier this week (as
flagged at the time). Swap curve still steeper today, suggesting domestic
players are at work on the back of the latest round of risk-positive flows.
- 2s & 3s outperformed all day, but sit back from richest levels, with the rest
of the curve cheapening as we moved through the session.
- BoJ Rinban ops saw the 1-3 Year offer/cover ratio tick higher and spreads
widen vs. prev. ops, while 3-5 Year ops saw the offer/cover nudge higher and
spreads little changed, with the 5-10 Year ops seeing the offer/cover ratio
moderate (as op sizes increased), with spreads little changed vs. prev. op.
MNI London Bureau | +44 0203-865-3809 |
MNI London Bureau | +44 0203-865-3809 |

To read the full story

Why Subscribe to


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.