JGBs flat, fail to sustain early gains on soft US data

02 Dec, 2015

TOKYO: Japanese government bond prices were mostly flat on Wednesday as initial buying following soft US manufacturing data lost steam, with many investors unwilling to chase the market higher near record levels.

Ten-year JGB futures ended flat at 148.56. They had risen earlier to 148.66, near a record high of 148.67 touched in January.

A closely-watched gauge of US manufacturing showed the sector contracted for the first time in three years.

The yield on the cash 10-year bonds was flat at 0.320 percent.

The longer end of the yield curve underperformed, ahead of auctions of long-dated bonds on Thursday and next Tuesday.

The 20-year yield rose 0.5 basis point to 1.065 percent. The 30-year yield rose 1.5 basis points to 1.390 percent.

Copyright Reuters, 2015

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