JGB futures ticked higher overnight, holding...>

JGBS: JGB futures ticked higher overnight, holding a tight range to finish

trading 5 ticks above Tokyo settlement levels.

- There was little in the way of major local news, although the Nikkei reported

that "the Japanese government will inject cash into large and mid-size

corporations that are struggling in the face of the coronavirus, supplementing

low-interest loans and subsidies already in place to help save businesses." The

source report noted that "Specifically, the government plans to provide

subordinated loans through state-backed institutions like the Development Bank

of Japan and the Japan Finance Corp. For companies whose finances have rapidly

declined, the purchase of preferred stocks with no voting rights will also be

considered. One proposal is to combine preferred stock purchases by the DBJ with

a voting stake taken on by the Japan Investment Corp...Funding for these

measures will be incorporated into the second supplementary budget for fiscal

2020 to be drafted as early as this month."

- Flash machine tool orders and 30-Year JGB supply dominate the local docket

today.