CANADA MAY RETAILS -0.8% VS FORECAST -0.6%, PRIOR +0.6%

MNI: Canada June Retails Fall And May Biggest Drop In A Year

MNI China Daily Summary: Friday, July 19

MNI BRIEF: China To Boost Consumer Spending, New Industries

MNI BRIEF: China Enhances Fiscal Response To Boost Economy

MNI BRIEF: China To Promote Migrates' Rights, Reform Hukou System

MNI: BAKER HUGHES US RIG COUNT 586; OIL RIGS 477; GAS RIGS 103

EZ/UK T-Bill Calendar: Germany, France Auction on Monday

EZ/UK T-Bill Calendar: Germany, France Auction on Monday

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Futures Unchanged At Lunch After Gov & Dep Gov Comments At BoJ-IMES Conference

JGBS
BulletMarketsFixed Income BulletsHomepage

At the Tokyo lunch break, JGB futures are unchanged compared to the settlement levels after comments from BoJ Governor Ueda and Deputy Governor Uchida at the BoJ-IMES Conference.

  • Ueda said the central bank will move cautiously to anchor inflation expectations at 2%, adding that some challenges are uniquely difficult for the BoJ (eg) assessing natural interest rates, given the prolonged period of near-zero short-term interest rates over the past three decades.
  • Meanwhile, Uchida said the end of the battle with deflation is in sight, while the big challenge ahead is anchoring of inflation expectations at 2%. He added that Japan could resolve the original causes of deflation as labour market conditions have changed structurally and irreversibly.
  • Leading & Coincident Indices are due later.
  • A bear trend in JGB futures persists, erasing the corrective bounce in recent weeks, according to MNI's technicals team. The contract for now is trading just above key support and bear trigger at 143.44, the Nov 1 low. A stronger reversal higher is required to signal the end of the recent downward phase. Key resistance is at 145.95, the Mar 28 high. A break would signal scope for a climb towards the bull trigger at 147.74, the mid-January high.
  • Cash JGBs are little changed, with yield movements bounded by +/- 0.5bp. The benchmark 10-year yield is 0.5bp higher at 1.011%, its YTD high.
  • Swaps are mostly slightly richer apart from the 20-year, which is 2bps cheaper. Swap spreads are mixed.
241 words

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.

At the Tokyo lunch break, JGB futures are unchanged compared to the settlement levels after comments from BoJ Governor Ueda and Deputy Governor Uchida at the BoJ-IMES Conference.

  • Ueda said the central bank will move cautiously to anchor inflation expectations at 2%, adding that some challenges are uniquely difficult for the BoJ (eg) assessing natural interest rates, given the prolonged period of near-zero short-term interest rates over the past three decades.
  • Meanwhile, Uchida said the end of the battle with deflation is in sight, while the big challenge ahead is anchoring of inflation expectations at 2%. He added that Japan could resolve the original causes of deflation as labour market conditions have changed structurally and irreversibly.
  • Leading & Coincident Indices are due later.
  • A bear trend in JGB futures persists, erasing the corrective bounce in recent weeks, according to MNI's technicals team. The contract for now is trading just above key support and bear trigger at 143.44, the Nov 1 low. A stronger reversal higher is required to signal the end of the recent downward phase. Key resistance is at 145.95, the Mar 28 high. A break would signal scope for a climb towards the bull trigger at 147.74, the mid-January high.
  • Cash JGBs are little changed, with yield movements bounded by +/- 0.5bp. The benchmark 10-year yield is 0.5bp higher at 1.011%, its YTD high.
  • Swaps are mostly slightly richer apart from the 20-year, which is 2bps cheaper. Swap spreads are mixed.