Free Trial

Futures Off Lows, Curve Steeper, BoJ Operations Eyed

JGBS

JGB futures recovered from their overnight trough on the wider core FI dynamics, with the previously flagged Russia-Ukraine matters front and centre, leaving the contract +5 vs. settlement come the close of post-Tokyo trade.

  • A quick reminder that Tuesday’s soft 40-Year JGB auction promoted further curve steepening, with the soft auction compounding the relative lack of BoJ control over the super-long end of the curve. Note that 30-Year JGB yields have cleared the 1.00% mark for the first time since ’16 in recent sessions, with 40-Year yields also moving to the highest level observed since early ’16.
  • Retail sales and BoJ JGB buying operations (Rinban and fixed rate) headline the domestic docket on Wednesday.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

To read the full story

Close

Why MNI

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.