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Futures Narrow Overnight, Super-Long Liquidity Enhancement Due

JGBS

JGB futures held to a narrow range overnight, closing out 1 tick below Tokyo settlement levels.

  • There has been a lack of local news flow since Wednesday's Tokyo close.
  • Barring the injection of a fresh, meaningful macro driver, most desk strategists continue to expect limited volatility, with 0% still widely seen as a base for 10s in yield terms under the current market structure.
  • A liquidity enhancement auction for off-the-run JGBs with 15.5 to 39 Years until maturity headlines the local docket today.
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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