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Off Lows

JGBS

JGB futures unwound a portion of their overnight dip during the Tokyo morning, hitting the lunch break 3 ticks below yesterday's settlement levels, with the space benefitting for the uptick in U.S. Tsys and press reports pointing to the impending state of emergency declaration covering Okinawa prefecture (after the region recommended such a move on Wednesday). The majority of the major benchmarks on the cash curve richened by 0.5-1.0bp during morning trade.

  • The latest round of BoJ Rinban operations saw the purchase sizes remain unchanged across the 3 buckets in play today, with offer to cover ratios as follows:
  • 1- to 3-Year: 2.65x (prev. 3.08x)
  • 5- to 10-Year: 3.07x (prev. 2.17x)
  • 25+-Year: 4.52x (prev. 4.30x)
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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