TOKYO: Long-dated Japanese government bond prices dropped on Friday after an auction of 30-year bonds the previous day, putting a brake on the relentless flattening in the yield curve since the Bank of Japan's negative interest rates policy.
The 30-year JGB yield rose 3.5 basis points to 0.350 percent while the 20-year yield rose 2.0 basis points to 0.270 percent.
The longer end of the curve continued to suffer from tepid results of 30-year JGB auction on Thursday.
On the other hand, shorter maturities fared better, with 10-year benchmark yield standing flat at minus 0.115 percent .
The 10-year JGB futures price was down 0.02 point at 151.93.
The market showed no reaction to comments from BOJ Governor Haruhiko Kuroda, who repeated his mantra that he would not hesitate to ease if he believes it is necessary to achieve the central bank's price target.
Although the BOJ stood pat at its previous policy meeting in late April, many market players expect it to take easing steps in coming months.
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