Free Trial

Monday was a national holiday in Japan, the....>

JGBS: Monday was a national holiday in Japan, the JGB 10-Year opened Tokyo at
150.38, last at 150.36.
- At the weekend a poll indicated Yuriko Koike's of the opposing 'Part of
Hope's' support has fallen, setting Abe up for a fourth term as Prime Minister
as he vowed to continue to tackle the N. Korean Crisis.
- Today will see 1-3 and 3-5 Year BOJ purchasing, Capital Economics say the
BOJ's purchases have fallen to around Y60tln per annum and are likely to be cut
further to Y40tln over the coming years. As the bank looks likely to keep its
target for 10-Year government bond yields unchanged, this decrease in purchases
shouldn't have an impact on financial conditions. The last couple of purchasing
operations have moved the JGB market temporarily however after heavy cover.
- Barclays opening call: "Today could see sellers take the upper hand around the
superlong end ahead of Wednesday's 30y auction. The BoJ is scheduled to hold a
buying operation for 1-5y issues; an operation for -1y issues and JGBi may also
be likely. This week's key events include the above-mentioned 30y auction and a
liquidity enhancement auction for 5-15.5y issues on Friday."

To read the full story



MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.