TOKYO: Japanese government bonds edged down on Wednesday, largely shrugging off a better-than-expected gross domestic product report, while the Bank of Japan's purchases underpinned sentiment.
The benchmark 10-year JGB yield rose 1 basis point to minus 0.105 percent. June 10-year futures ended down 0.09 point at 151.83.
The 20-year JGB yield added 1.5 basis points to 0.275 percent.
The BOJ offered to buy 350 billion yen of JGBs in the one- to three-year zone, 440 billion yen of JGBs in the three- to five-year zone, and 450 billion yen of JGBs in the five- to 10-year zone under its asset prying programme.
Early in the session, data from the Cabinet Office showed Japan's economy expanded by an annualised 1.7 percent in January-March, beating the median market forecast for a 0.2 percent increase, and rebounding from a 1.7 percent contraction in the previous quarter.
While the upbeat headline figure reduced some expectations that the central bank would expand its stimulus, many economists still believe the BOJ will muster further steps as early as next month.
A Thomson Reuters poll taken before the GDP report showed some 80 percent of analysts surveyed expect the BOJ to take action, which could include increasing its purchases of JGBs.