Free Trial

Futures Firmer Overnight, Defence Matters In Limelight


JGB futures added 14 ticks in overnight dealing, tracking the gyrations witnessed in broader core global FI markets, going out just shy of best levels.

  • The already released, firmer than expected domestic household spending and wage data may apply some modest pressure to JGB futures around the Tokyo re-open, although an uptick observed in U.S. Tsy futures and ACGBs will likely provide some spill over-related counter.
  • Note that Yomiuri has suggested that the Japanese Ministry of Defence's budget request for FY23 will reach a record high of Y5.5tn, on top of "item requests" which will boost the final amount, citing the latest meeting of the ruling Liberal Democratic Party's Security Research Commission.
  • On the defence front it is worth noting that since yesterday’s Tokyo close we have seen a Chinese missile launch over Taiwan, with some of the missiles landing in Japan’s EEZ. This comes after a bilateral meeting between the Chinese & Japanese Foreign Ministers was cancelled.
MNI London Bureau | +44 0203-865-3809 |
MNI London Bureau | +44 0203-865-3809 |

To read the full story


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.