JGBs rise slightly as weaker shares boost debt demand

06 Mar, 2019

The benchmark 10-year JGB yield was off half a basis point at minus 0.005 percent.

The super-long sector followed suit, with the 20-year  and the 30-year yield down 1.0 basis point each, to 0.440 percent and 0.630 percent, respectively.

Ten-year JGB futures rose 0.11 point to 152.62, with a trading volume of 32,705 lots, after hitting a more than six-week low in the previous session.

The Bank of Japan on Wednesday offered to buy 480 billion yen ($4.29 billion) of JGBs with over five to 10 years to maturity, putting the purchase amount of JGBs with this maturity on course to fall to 1.92 trillion yen in March from 2.15 trillion yen in February.

The central bank said last week it would buy JGBs with over five to 10 years to maturity in four instalments in March, compared to five purchases a month in the previous six months.

On Wednesday, Japan's Nikkei closed 0.6 percent lower, falling for the second straight session after hitting an 11-week high early this week.

Copyright Reuters, 2019
 

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