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JGB futures have stuck to a confined range,....>

JGBS
JGBS: JGB futures have stuck to a confined range, although the timing of the
lunch break may have prevented the contract from following U.S. Tsys lower on
the back of reports surrounding the latest Italian budget developments.
- The super long end of the cash curve experienced some modest outperformance in
the morning session.
- The BOJ left the size of its Rinban operations covering the 1-10 Year buckets
unchanged, the offer to cover ratios of the operations can be found below:
- 1-3 Year 3.95 (prev. 2.71), 3-5 Year 3.09 (prev. 2.41), 5-10 Year 3.17 (prev.
1.96).
- The uptick may have came about on the back of added caution following the
adjustment to the purchasing band of super-long paper in the Bank's October
purchasing plan, what with this being the first operation of the month.
- Focus now turns to tomorrow's liquidity enhancement auction for off the run
15.5-39 Year paper.
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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