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PREVIEW: 2-Year JGB Supply Due

JGBS AUCTION

The Japanese MOF will today sell Y2.8tn of 2-Year JGBs opening JB#440. The MOF last sold 2-Year debt on Jul 28, the auction drew cover of 4.332x at an average yield of -0.074%, average price of 100.159, high yield of -0.072%, low price of 100.155, with 62.1910% of bids allotted at the high yield.

  • The BoJ’s on hold monetary policy stance should generate a baseline level of demand at the upcoming auction, resulting in relatively smooth digestion, although the steepness of the domestic yield curve will likely prevent an outright sense of strong demand.
  • Results due at 0435BST/1235JST.
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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