Free Trial

PREVIEW: 2-Year Supply Due

JGBS AUCTION

The Japanese MOF will today sell Y3.0tn of 2-Year JGB's opening JB#420. The MOF last sold 2-Year debt on November 27, the auction drew cover of 3.212x at an average yield of -0.139%, average price of 100.481, high yield of -0.134%, low price of 100.470, with 30.8217% of bids allotted at the high yield.

  • It is very hard to assess the prospects ahead of the upcoming auction, given the time of the year and last month's weak offering.
  • Still, some point to the recent real yield dynamic as supportive, although there has been little in the way of meaningful relative movement in the likes of the 2-/5-Year yield spread since the Nov 2-Year auction. Some also flag the current collateral situation as supportive, owing to matters surrounding BoJ operations.
  • Results due at 0335GMT/1235JST.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

To read the full story

Close

Why MNI

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.