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Monday's session was rather limited. Futures...>

JGBS
JGBS: Monday's session was rather limited. Futures flow helped to prop up the
space as the Nikkei 225 traded lower as Japan returned from the holiday extended
weekend.
- The latest round of BoJ Rinban ops, covering the 1-5 Year & 10-25+ Year
buckets cleared smoothly.
- Focus now falls on today's 10-Year JGB auction.
- Barclays believe that "today could see sellers initially take a slight upper
hand, led by the long end, prior to the 10-Year auction. We expect the auction
to produce somewhat weak results assuming yields near current levels. In our
view, the issue is unlikely to draw much interest below the 0.05% level given
that absolute and relative valuations are not particularly cheap."
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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