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

JGBS: JGB futures finished the morning session just off the intraday low, after

the contract edged away from opening levels as the Nikkei 225 unwound its early

losses, finishing the morning session +0.9%, while the JPY crosses moved higher.

The afternoon session was a little more limited as the contract hovered around

the lower end of the AM range as local stocks lacked additional upside impetus.

The BoJ left the size of its 1-5 & 10-25 Year Rinban ops unchanged. Offer to

cover ratios as follows: 1-3 Year 2.29 (prev. 3.46), 3-5 Year 3.01 (prev. 2.47),

10-25 Year 2.43 (prev. 3.56), 25+ Year 2.77 (prev. 3.53). The broadly lower

offer to cover ratios likely leant some support in the afternoon, while the

uptick in the 3-5 Year bucket's offer to cover may be a result of some position

squaring ahead of tomorrow's 5-Year supply.

- Yields trade unchanged to marginally positive on the day.

- The aforementioned 5-Year supply headlines tomorrow, with an enhanced

liquidity auction for JGBs with 5-15.5 Years until maturity due on Friday.

Participants also await an address from BoJ's Kuroda & Amamiya Thursday.