JGBs narrowly mixed ahead of 10-year bond auction
TOKYO, Aug 5 (IFR) - Japanese government bond prices were narrowly mixed on Tuesday, ahead of a 10-year bond auction later in the day, though demand is expected to be firm as the Bank of Japan has already soaked up a huge amount of that issue.
Ten-year JGB futures rose 0.02 point in price to 146.01 while the current 10-year cash bond yield stood flat at 0.525 percent. The 20-year yield rose 0.5 basis point to 1.390 percent.
The Ministry of Finance will issue 2.4 trillion yen of 10-year bonds by reopening the current issue with a 0.6 percent coupon.
As central bank data on Tuesday shows the BOJ already holding 2.63 trillion yen, or more than 50 percent of the existing amount of that issue, traders expect the auction to attract solid bids. (Reporting by Masatsugu Hisatsune; Editing by Jacqueline Wong)