JGB futures operated in a 4 tick range on......>

JGBS: JGB futures operated in a 4 tick range on Wednesday, with the super-long

end continuing to outperform in cash dealing ahead of today's 30-Year JGB

supply. Many expect lifers to post strong demand in the upcoming auction, owing

to the political risks in Europe.

- The BOJ left the size of its Rinban operations covering the 1-10 Year buckets

unchanged in Wednesday's operation. Looking at the breakdown of the operation,

the offer to cover ratio of the 1-3 & 3-5 Year buckets edged higher, while the

cover ratio of the 5-10 Year bucket held steady.

- The aforementioned 30-Year JGB auction, the weekly international security

flows data and a speech from BOJ's Masai provide the highlights for the space

today.

- JGB bears need a close below 150.89 in futures to signal a false break higher

and return focus to 150.71-80.