TOKYO: Japanese government bond (JGB) yields fell on Friday, tracking US Treasury peers lower, after an auction drew solid demand. The 10-year JGB yield fell 0.5 basis point to 0.235% and the 20-year JGB yield fell 2 basis points to 0.740%.

The auction for 20-year notes received bids worth 3.77 times the amount sold, higher than a bid-cover ratio of 3.10 at the previous auction.

“The auction results were good. There was demand from those who wanted to cover their short positions. Also the current yield level, which supported by downturn trend of overseas yields, was attractive,” said a market participant at a domestic brokerage. The 30-year JGB yield fell 1.5 basis points to 0.990%.