TOKYO Feb 19 The Japanese government bond yield
curve steepened slightly on Wednesday as the market braced for
new supply of superlong maturities.
The Ministry of Finance offered 1.2 trillion yen ($11.72
billion) of 20-year JGB notes on Wednesday, with the auction
results due at 1300 GMT.
Market participants expect the new 20-year paper to attract
ample demand from investors.
The lead 10-year JGB futures inched up 0.02 point
to 144.95, lifted by a slip in Tokyo shares.
The benchmark 10-year note yield stood
unchanged at 0.600 percent.
The 20-year yield rose 0.5 basis point to
1.460 percent. The yield spread between 10-year and 20-year
notes widened by 0.5 basis point to 86 basis points.
The market's medium-term focus is on whether the Bank of
Japan will ease monetary policy again in the foreseeable future.
The central bank stood pat on Tuesday, keeping monetary
policy unchanged as widely expected, but in a bid to help buoy
economic growth it extended its special loan programmes - a move
seen by some market participants as a possible precursor to