There has been a decent bid in JGBs from the...>

JGBS: There has been a decent bid in JGBs from the off, with little in the way

of catalysts observed in early dealing, as they played a bit of catch up to the

move in Tsys on Thursday, while the lack of adjustment in the BoJ's latest

Rinban auction & the results of yesterday's 30-Year supply also augur well for

bulls.

- Looking at the breakdown of the Rinban operations, the offer to cover ratio

for the 1-3 Year bucket eased to 3.28 from 3.75, while the 3-5 Year bucket's

offer to cover ratio ticked up to 3.22 from 2.74. Moving to the longer dated

ops, the 10.25 Year bucket saw the offer to cover ratio push up to 3.85 from

2.06, while the 25+ Year bucket's offer to cover ratio edged higher to 3.20 from

3.07.

- The latest round of Turkey headlines re: EZ banks, put a fresh bid in to the

space, with the super-long end underperforming in the afternoon (after early

curve flattening) on the back of the 10-25 Year Rinban operations.

- Futures have cleared resistance at 150.24, with bulls looking for a close

above this level, to turn the technical picture a little more constructive.