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Futures Test Support, 40-Year JGB Supply Due

JGBS

Futures had a limited look below technical support (151.49) during the Tokyo morning, with the overnight weakness extending a little amid a lack of fresh macro drivers and ahead of this afternoon's 40-Year JGB supply. The contract edged away from worst levels of the day to hit the lunch bell 13 ticks below yesterday's settlement level (spot on the aforementioned technical support). Cash JGB trade was relatively limited, with the major benchmarks dealing either side of unchanged before 7s (on the move in futures) and 40s (on the aforementioned supply) led some modest cheapening, with the benchmarks little changed to ~1bp cheaper across the curve.

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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