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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.
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Free AccessPREVIEW: 20-Year JGB Supply Due
The Japanese MOF will today sell Y1.2tn of 20-Year JGBs, re-opening JB#183. The MOF last sold 20-Year debt on 19 January 2023, the auction drew cover of 3.365x at an average yield of 1.341%, average price of 100.92, high yield of 1.342%, low price of 100.90, with 92.3846% of bids allotted at the high yield.
- Outright yield levels, coupled with relative value appeal (20s have moved back towards cycle cheaps on the 10-/20-/30-Year butterfly) should provide smooth enough underwriting of today’s supply.
- However, domestic investors have been sellers of the super-long end in lieu of elevated uncertainty re: the BoJ in the post-Kuroda era (evidenced by MoF data covering January flows), which will likely cap overall demand.
- Also note that worry re: higher for longer rates across the major global central banks could cap overall demand.
- These headwinds clearly introduce downside risks to overall demand levels.
- Results due at 0335GMT/1235JST.
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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.