JGB futures operate at best levels, last 7.....>

JGBS: JGB futures operate at best levels, last 7 ticks higher on the day.

- A light bid came into futures after today's 40-Year supply went well despite

the lack of concession ahead of the auction, with flattening apparent on the

curve during the morning, extending in the wake of the supply.

- Month-end flows/a lack of attractive FX-hedged foreign alternatives may have

helped demand at the auction, which saw the cover ratio edge higher and low

price top exp. (as proxied by the BBG dealer poll). 40-Year yields have touched

fresh cycle lows on the back of the auction.

- The latest round of policymaker comments surrounding U.S.-Japan trade matters

had no real effect on the space.

- An address from BoJ Governor Kuroda headlines the local docket tomorrow.