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Light Twist Flattening, Futures Nudge Lower

JGBS

The JGB curve saw some light twist flattening during the Tokyo morning, while futures shed 5 ticks on the modest risk positive price action witnessed elsewhere.

  • Local news flow remains relatively light, headlined by PM Kishida noting that he plans to draw up his economic policy proposals in November (there is the small issue of the upcoming lower house elections to contend with, which will be held over the coming weekend). Kishida's comments pointed to focus on social security, digital garden cities and public sector pay.
  • The latest round of BoJ Rinban operations resulted in the following offer/cover ratios:
  • 3- to 5-Year: 2.87x (prev. 2.80x)
  • 5- to 10-Yeat Year: 2.17x (prev. 1.86x)
  • JGBis: 3.73x (prev. 2.90x)
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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