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JGB futures had a look below Tuesday's low.....>

JGBS
JGBS: JGB futures had a look below Tuesday's low in early trade today, but a
negative start for the Nikkei 225 (-0.7% at the break) lent support, resulting
in the contract trading 4 ticks higher at the lunch break.
- Modest curve flattening apparent, with 20 to 40-Year yields marginally lower.
- Focus today falls on 5-Year supply. 5s looks relatively attractive vs. 7s in Z
spread & ASW terms, although 7s offer a much more attractive carry and roll
proposition. Absolute 5-Year yields look rich vs. shorter dated alternatives.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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