JGB futures finished the morning session.......>

JGBS: JGB futures finished the morning session flirting with Friday's session

low (150.00), after a brief look below. A break would open up a move to the

August 03 low (149.95), with bears looking to the recent cycle low (149.75).

- There has been little in the way of headline flow to drag the space lower,

with the minutes from the BOJ's July meeting & the latest BOJ Rinban operations

yielding no surprises, so the move is probably a function of the concession

observed in the longer end of the cash curve ahead of tomorrow's 40-Year supply.

There is perhaps an element of catch up to the global bond space on the back of

the long weekend as well. 30- & 40-Year yields finished the morning session 1.4

& 2.3bp higher respectively.

- The BOJ left the size of its Rinban operations unchanged today, with the offer

to cover ratios available below:

- 5-10 Year: 1.96 (prev. 2.50)

- JGBis: 5.89 (prev. 5.02)

- Participants await an address from BOJ Gov. Kuroda later today.