JGB futures last trade 7 ticks softer at.......>

JGBS: JGB futures last trade 7 ticks softer at 150.60 after a brief foray to

150.69 in early dealing. The BoJ left the size of its Rinban operations covering

the 5-25+ Year buckets unchanged in today's round of operations.

- With little on the table in terms of domestic risk events, focus is likely to

fall on the breakdown of the operations which will as ever be made available in

the Japanese lunch break.

- Futures may have eased back a tad on reports from Kyodo re: comments from a

ruling LDP party official in Japan, who suggested that dissolving the lower

house is one option available to the party in light of the recent political

scandal & fall in PM Abe's approval rating. This would bring the longevity of

Abenomics into question.

- US Tsys have also moved lower, as the US 10-Year yield has breached 3.00%,

which will have added a degree of weight to the space.

- The belly of the cash space is underperforming on the session thus far.