TOKYO, Aug 7 (IFR) - Japanese government bond prices were
mostly steady on Thursday as the Bank of Japan began its regular
two-day policy meeting, at which the central bank is expected to
maintain its massive asset purchases and its optimistic view on
the economic outlook.
After recent downbeat data, some policymakers might propose
offering a bleaker view on exports and output than given in the
But overall, the BOJ is not expected to change its policy
framework, under which it has pledged to increase base money by
60-70 trillion yen ($585-$683 billion) per year through
aggressive asset purchases, largely of JGBs, in a bid to reflate
Underpinning JGBs, the benchmark 10-year German Bund yield
broke below July 2012's record low of 1.17 percent
overnight to fall as low as 1.092 percent, on a weaker economic
outlook against a backdrop of escalating concerns about the risk
of escalating conflict in the Ukraine, involving Russia.
Yields on the current 2-year, 10-year and 20-year JGBs were
unchanged from the previous session at 0.065 percent
, 0.515 percent and 1.380 percent
, respectively, while the 30-year yield
inched up half a basis point to 1.685 percent.
Ten-year lead September JGB futures were up 0.02
point in afternoon trade at 146.05, after finishing at midday at
(Reporting by Masatsugu Hisatsune; Editing by Simon