RTRS & BBG source reports pointed to...........>

JGBS: RTRS & BBG source reports pointed to slightly lower JGB issuance in

FY2020/21, which supported the JGB space, although the super-long end lagged in

cash trade, on chatter of increased 40-Year JGB issuance from the same sources.

Futures eased back from best levels in the afternoon and sit 10 ticks higher on

the day as we head towards the close.

- Also worth remembering that the BoJ left the size of its 1-10 Year Rinban ops

unch. The offer to cover ratios saw a modest downtick in the 1-3 Year bucket,

and slight upticks in the 3-5 & 5-10 Year buckets. Yield spreads were tighter,

with the spreads across all 3 buckets moving into negative territory.

- Elsewhere, monthly Japanese trade data revealed soft imports, coupled with the

12th consecutive monthly decline for exports (in Y/Y terms).

- The BoJ's final monetary policy decision of 2019 will be issued tomorrow, with

the final machine tool orders print for Nov also due.