JPY strength & equity weakness supported the...>

JGBS: JPY strength & equity weakness supported the belly/longer end of the JGB

curve on Friday, as shorter dated paper underperformed on a less optimistic

short-term supply/demand picture.

- US Tsys bear-steepened on Friday.

- Focus today will fall on the opinions from the BoJ's March MonPol decision,

while the BoJ will conduct Rinban operations in the 1-10 Year buckets.

- Barclays suggest that "today could see the weekend selloff in USTs weigh on

the JGB market, but we expect firm trade overall on favourable supply and demand

into the first year end. The BoJ is scheduled to hold buying operations for 1-5y

issues and 5-10y issues today. This week's highlights include the Summary of

Opinions from the 8-9 March MPM (Monday), the liquidity enhancement auction for

5-15.5y issues (Tuesday) and the February nationwide CPI data (Friday). We

expect yields to come under downward pressure, led by the superlong end, given

that there will be buying operations on three of four business days (Wednesday

is a national holiday) and few auctions this week."