Looking Elsewhere For A Spark

JGB futures trade 2 ticks lower on the day as we approach the lunch break, with the contract paring modest overnight losses, likely on the back of the light bid in broader core FI markets during regional trade (U.S. Tsys/ACGBs), given the lack of local news flow. The major cash JGB benchmarks deal either side of unchanged but comfortably within the -/+1.0bp boundaries when compared to Friday's closing levels. Local PPI data (for June) revealed a slightly higher than expected uptick in both M/M & Y/Y terms, although both prints were a touch lower than the readings witnessed in May (which saw upward revisions). Core machine tool orders data provided healthy beats in both M/M & Y/Y terms.