PREVIEW: The Japanese MOF will today...>

JGBS AUCTION: PREVIEW: The Japanese MOF will today sell Y400bn of 10-Year

JGBi's, opening JBi24. The MOF last sold 10-Year JGBi's on February 15, the

auction drew cover of 3.344x at a high yield of -0.287%, low price of 103.60,

with 16.3120% of bids allotted at the high yield.

- Results due at 0435BST/1235JST

- Underlying inflationary pressures in Japan remain subdued, with 10-Year

break-evens sitting ~3.0bp above the YtD low (which coincides with the lowest

level observed since early 2016), last printing at ~0.205%. The unprecedented

scale of the BoJ's QQE programme has done little to generate broad price

pressures, with most expecting the BoJ to be forced into extending its forward

guidance on policy rates beyond the current "at least through spring 2020."