Japanese government bond prices rose on Friday for a second day after a four-session plunge, bolstered by the Bank of Japan's asset-buying operations and reassured by the previous session's solid five-year sale The BoJ offered to buy outright 600 billion yen ($5.88 billion) in JGBs with residual maturities of more than 5 years and up to 10 years, and another 700 billion yen with residual maturities of more than 1 year and up to 5 years.

Indian bonds fell on Friday, snapping an eight-session winning streak, while the new 7.16 percent 10-year bonds also reeled after Standard & Poor's reiterated its "negative" outlook on the country's sovereign ratings. S&P warned India on Friday of the need to follow through on reforms, dealing a blow to a government that had recently pitched for an upgrade from the country's current "BBB-minus" rating, or one notch above junk.

US fund managers cut global equity allocations to the lowest level since 2007 and raised cash holdings in April on concerns about slower global growth, a recent Reuters poll showed. The survey of 13 US-based fund management firms taken between April 17-29 showed aggregate cash weightings in balanced portfolios at 3.3 percent in the month, up 1.5 percentage points on March and the highest since November.