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Futures Through 152.00

JGBS

The rally in U.S. Tsys provided a boost to JGB futures overnight, with the contract trading through 152.00, adding 9 ticks vs. Tokyo settlement, finishing a handful of ticks off best levels.

  • Late Tuesday saw a Nikkei report suggest that Japanese PM Suga will instruct his administration to compile a fresh round of fiscal stimulus. The move could come as soon as next month, and would be submitted to parliament in January, per the Nikkei source. The source suggested that the government will look to support tourism and eateries.
  • Elsewhere, the International Monetary Fund raised its forecast for Japan's gross domestic product growth in 2020 but lowered that for next year, in line with the better-than-feared outlook for the global economy.
  • 1-10 Year BoJ Rinban ops headline the local docket on Wednesday. There will also be some focus on the BoJ's US$ ops, as we covered earlier.
  • 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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