JGB futures last traded 10 ticks........>

JGB SUMMARY: JGB futures last traded 10 ticks lower at 150.86 as the the Nikkei

225 & USDJPY cross moved higher, while the 3- & 10-Year sectors underperformed

the remainder of the curve in cash dealing.

- Japan's former tax chief Sagawa stated that Japanese PM Abe & his wife had no

part in the Moritomo scandal, which allowed risk assets to rally.

- The latest 40-Year JGB auction was met with solid enough demand, despite the

unattractive yield, although the cover ratio did still manage to tick lower.

- Swaps were tighter in the main.

- Focus now moves to the BoJ's Rinban operations tomorrow, in front of a

relatively heavy Japanese economic docket later in the week.

- From a technical perspective, JGB future's recovery from 200-DMA tests that

defined last week is now in a little trouble with the failure around 151.06

leaving it looking a little heavy. Bears now need a close below 150.82 to shift

focus back to layers of support 150.55-73 where 55, 100 & 200-DMAs are located.

Bulls now need a close above 151.06 to reconfirm initial focus on 151.13-19

where the Bollinger top, 2018 high and Nov monthly high are located.