June 18, 2014 / 3:25 AM / in 4 years

JGBs edge down in line with U.S. Treasuries

TOKYO, June 18 (IFR) - Japanese government bond prices ended the morning session on Wednesday slightly lower in line with an overnight move in U.S. Treasuries.

The yield on benchmark 10-year Treasuries stood at 2.653 percent in Asian trade on Wednesday, steady from Tuesday’s U.S. close.

U.S. yields rose on Tuesday after data showed the consumer price index increased 0.4 percent last month, with food prices posting their biggest rise since August 2011. Some feared the figures might give the Federal Reserve more reason to adopt a hawkish tone.

The majority of domestic real money accounts took a wait-and-see stance, according to JGB traders, ahead of the outcome of the Fed’s two-day meeting later on Wednesday.

The Bank of Japan’s purchases of 150 billion yen of superlong JGBs under its massive asset buying scheme underpinned longer maturities, though their prices still dropped.

At midday, the yield on the current 10-year JGBs added 0.5 basis point to 0.590 percent.

The yield on the new 20-year JGBs traded in a ranged of 1.455 percent to 1.460 percent, and was up 1 basis point at 1.460 percent at midday. That compares to an average accepted yield of 1.459 percent and a highest yield of 1.464 percent in the previous session’s auction.

The 30-year yield also added 1 basis point to 1.670 percent.

Ten-year lead September JGB futures moved in a 145.26-145.32 range before finishing the morning session down 0.05 point at 145.28.

Ministry of Finance data released early on Wednesday showed Japan’s exports fell for the first time in 15 months in May from a year earlier as external demand slumped. (Reporting by Masatsugu Hisatsune; Editing by Kim COghill)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below