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Politics Dominate Local Headline Flow

JGBS

JGB futures cheapened ahead of the weekend, with futures shedding 8 ticks in the final overnight trading session of last week, going out at the worst levels of the session but sticking with the weekly range.

  • Political matters have dominated in Japan over the weekend, with PM Suga continuing to face headwinds in terms of both realised events and in opinion polls. The weekend saw the opposition-backed candidate win the Yokohama mayoral election, the latest blow to Suga, who continues to reel in the wake of the COVID crisis. Elsewhere, local press reports have pointed to plans for ruling LDP lawmaker Fumio Kishida re: running for LDP leadership, with the potential for a declaration of such a move to come as soon as Thursday (the party is expected to vote on the matter during September).
  • Flash PMI data headlines the local docket on Monday.
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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