The 10-Year JGB opened Tokyo at 150.33, last...>

JGBS: The 10-Year JGB opened Tokyo at 150.33, last at 150.35. The 10-Year dipped

alongside Tsy's on the overnight which saw a sharp tailspin selloff.

- Japan PPI out today and bond/stock flow.

- Barclays Opening Call: "Today could see the superlong end hold somewhat firm

ahead of Friday's BoJ buying operation for 10y+ issues after USTs showed little

price action overnight. We expect the 2y auction (JN382) to clear smoothly

assuming yields near current levels (WI close on 25 October: -0.125%). Current

yields are largely unchanged from the average at the previous auction (-0.119%),

suggesting that valuations are not particularly rich in absolute terms and that

a collapse is unlikely. That said, given the current level of 2y USDJPY basis

amid strengthening expectations for the BoJ's current monetary policy to remain

intact for longer, we find it difficult to expect much in the way of foreign

investor demand and believe dealing interest will be lacking."