JGB futures have moved back from session.......>

JGBS: JGB futures have moved back from session lows in the afternoon on Friday,

with little in the way of catalysts apparent. The space had moved lower in the

morning owing to a positive start for to the Nikkei 225.

- The space has had little to no reaction to the latest liquidity enhancement

auction for 5-15.5 Year JGBs.

- Early Asia-Pac hours saw the release of Japanese CPI with both headline & core

prints slowing in December, drifting further away from the BoJ's 2% target. MNI

sources said the disappointing print fuelled concerns among the BoJ members (see

MNI Main Wire at 02:45 GMT 01/18). JGBs looked through the print.

- BPCE priced a 5-/10-Year Samurai deal, while Malaysia received approval for up

to Y200bn worth of Samurai issuance that will be sold over the coming months.

- Focus turns to the BoJ's MonPol decision due Wednesday, with 1-5 & 10-25+ Year

BoJ Rinban operations due today.