JGB futures followed their global peers........>

JGBS: JGB futures followed their global peers higher in the morning session,

although they operated in a tight range, and extended on their gains in

afternoon dealing to last trade 8 ticks higher at 150.86.

- The cash space flattened in afternoon dealing as the longer end drew support

from the latest BoJ Rinban ops.

- The latest round of BoJ Rinban operations saw the BoJ leave the size of the

operations covering the 1-5 & 10-25+ Year buckets unchanged. Looking at the

breakdown of the operations the most notable takeaway was probably the fact that

the longer dated operations offer to cover ratio eased notably, while the

shorter dated operations saw the offer to cover ratio edge higher. All-in-all it

would appear that the operations passed somewhat smoothly.

- Focus remains on Samurai issuance, with June the seasonal hotspot for the

space in terms of issuance.