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Futures drifted lower in Tokyo trade, last.....>

JGBS
JGBS: Futures drifted lower in Tokyo trade, last -14, as bears worked their way
through the lower bound of Friday's Tokyo range. Yields sit mixed across the
curve, with outperformance for 2s, 5s and 10s, against cheapening elsewhere.
- Swap spreads are mixed, with conventional bear steepening for the swap curve.
- News flow remains very limited, with little in the way of broader catalysts
evident for the space. Focus remains on the COVID-19 case count in Tokyo, with
new daily cases holding > 200 over the weekend.
- Looking ahead, there is a liquidity enhancement auction for off the run 5-15.5
Year JGBs scheduled for tomorrow, while the BoJ's latest monetary policy
decision will be issued on Wednesday.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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