JGB futures showed lower in Tokyo hours, but...>

JGBS: JGB futures showed lower in Tokyo hours, but edged away from worst levels,

holding a tight range. Contract last -1.

- The cash curve twist steepened with the super-long end cheapening.

- The BoJ decision offered up no surprises as the Bank left its policy settings

unchanged and tweaked its economic outlook, while Tokyo has lifted the level of

its COVID-19 warning to the highest possible, adding to the broader risk

backdrop mentioned elsewhere.

- The Nissan multi-tranche bond issuance that we mentioned earlier has priced,

while Softbank will reportedly come to market next week, with Y50bn worth of

paper to sell.

- 1-Year supply and a liquidity enhancement auction for off the run 1-5 Year

JGBs headline on Thursday.