It had been a quiet session for JGB futures....>

JGBS: It had been a quiet session for JGB futures which ignored the latest round

of comments from BoJ Deputy Governor Wakatabe, who offered little new, and

showed no real reaction to a solid enough round of 5-Year JGB supply.

- That was before RTRS sources noted that "Japan's government is considering

revising down its economic assessment in a report due next week as an

intensifying Sino-U.S. trade war takes a toll on exports and factory output, a

government source with direct knowledge of the matter told Reuters on Thursday."

RTRS suggested that "a downgrade in the crucial monthly report could fuel

speculation that Prime Minister Shinzo Abe may delay once again a planned sales

tax increase set for October."

- Futures moved to session highs on the story, although the range remained

contained, last trading 10 ticks higher on the day. Cash trade saw the curve

bull flatten.

- Q1, prelim GDP data and 10-25+ Year Rinban operations provide the highlights

tomorrow.