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Thursday's 20-Year JGB auction was well........>

JGBS
JGBS: Thursday's 20-Year JGB auction was well received, the low price came in at
100.10 (exp. 100.00), with a slightly higher bid-to-cover at the auction
compared to the previous adding further support. The supply would have been
supported by the unfavourable FX-hedged U.S. Tsy yields in play for Japanese
lifers, with the super-long end of the JGB curve unwinding its pre-auction
concession and moving higher on the day.
- BOJ Rinban operations covering the 5-25+ Year buckets will dominate the docket
today.
- Daily studies looking to correct from modestly overbought levels in futures
and the lack of topside follow through remain concerns for bulls. In saying
that, bears still need a close below 150.89 to ease bullish pressure and return
initial focus to 150.71-80.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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