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Mixed In Cash, Futures Unwind Modest Gains

JGBS

JGB futures stuck to a narrow range, with early afternoon trade seeing the strong cover at the 5-15.5 Year JGB liquidity enhancement auction provide support. The move only resulted in a brief breach of the overnight/Tokyo morning highs, with futures falling back to finish near unchanged levels, +1 on the day.

  • Yields were mixed across the curve, but nothing more than 1.0bp away from settlement levels, while the swap curve saw modest steepening.
  • In local news Japanese Finance Minister Aso noted that it has become harder to restore the health of the Japanese fiscal situation while commending the BoJ for its efforts re: keeping yields low.
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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