TOKYO: Japanese government bond prices dipped on Friday, taking their cue from falls in US and European bonds after European Central Bank Mario Draghi suggested he does not anticipate further deepening of the ECB's rate cuts.
The ECB on Thursday cut its deposit rates deeper into negative territory and increased its asset-buying program to 80 billion euros ($89.33 billion) a month from 60 billion euros, helping to lift bond prices worldwide initially.
But Draghi's comments suggesting the ECB would probably not be able cut rates again led to a reversal, pushing up the 10-year US bond yield to a one-month high of 1.957 percent and the 10-year German Bund yield to a one-month high of 0.33 percent.
June JGB futures, which took over the benchmark status from the March contract on Thursday, fell as much as 0.81 point. They were last down 0.17 point at 150.94.
In the cash bond market, the 10-year bond yield rose 2.0 basis points to minus 0.005 percent while the 20-year bond yield rose 5.5 basis points to 0.545 percent.
The 30-year yield rose 4.5 basis points to 0.805 percent.
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