Economic news

JGBs Steady to Firmer as Stocks Slide, Global Bonds Steady

TOKYO, May 17 (Reuters) - Japanese government bond (JGB) prices were steady to slightly firmer on Monday as a fall in domestic stock prices and stabilising U.S. and European bond markets underpinned the market.

Benchmark 10-year JGB futures rose 0.07 point to 151.42, although trading volume was thin at 10,372 lots.

The 10-year JGB yield fell 0.5 basis point to 0.075%, while the 30-year JGB yield was flat at 0.650%.

Benchmarks for other major maturities, such as two-, five, and twenty-year bonds, were all untraded, pointing to lack of enthusiasm in trading.

An auction of 200 billion yen ($1.83 billion) inflation-linked 10-year JGBs attracted strong demand, amid growing inflation concerns in the United States and elsewhere, even though inflation is seen low in Japan.

The offer attracted bids 3.82 times the offer, higher than bid-to-cover of 3.07 in the previous auction.

In the U.S. bond market on Friday, Treasury yields slid after U.S. retail sales unexpectedly stalled in April as the boost from government stimulus checks faded.

$1 = 109.19 yen

Reporting by Tokyo Markets Team; editing by Uttaresh.V

Source: Reuters


To leave a comment you must or Join us

More news

Back to economic news list

By visiting our website and services, you agree to the conditions of use of cookies. Learn more
I agree