JGBs dip on fresh supply, higher Tokyo stocks

11 Nov, 2014

TOKYO: Japanese government bond prices dipped on Tuesday, weighed by higher Tokyo stocks and an overnight retreat in US Treasuries.

JGBs also sagged as the market braced for fresh supply.

The Ministry of Finance offered a new batch of 30-year JGBs on Tuesday.

The 30-year JGBs are expected to draw decent demand from dealers who need to cover short positions and demand stemming from the Bank of Japan's market operations, through which it buys large amounts of bonds for its easy monetary programme.

The benchmark 10-year JGB yield rose 1 basis point to 0.465 percent.

December 10-year futures fell 0.09 point to 146.46. Tokyo's Nikkei gained 0.8 percent, boosted by Wall Street gains and the BOJ's move to purchase exchange-traded funds as part of its recently beefed-up economic stimulus campaign.

Copyright Reuters, 2014

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