Japan's super-long bonds rise after report of possible bond buybacks
TOKYO - Japan's super-long government bond prices rose on Tuesday, after Reuters reported that the government is considering buying back some super-long-dated bonds in a move to contain rising yields.
The 20-year JGB yield fell 2 basis points (bps) to 2.340% and the 30-year JGB yield fell 3 bps to 2.88%.
Bond prices move in the opposite direction to yields.
Japan is considering buying back some super-long government bonds issued in the past at low interest rates, two sources with direct knowledge of the plan told Reuters.
"Although the finance ministry's bond issuance plans are still not clear, the report about bond buybacks is positive," said Naoya Hasegawa, chief bond strategist at Okasan Securities.
"It signals the ministry's willingness to improve demand for bonds with super-long maturities," Hasegawa said.
The latest report came as the market awaited details of the ministry's bond sale plans after Reuters reported last month that the ministry is considering a cut in the sale of super-long bonds.
The Ministry of Finance, which oversees the government's debt issuance, will reach a final decision on the buybacks after holding meetings with bond market participants on June 20 and June 23, the sources told Reuters.
Yields on the longest-dated bonds hit record highs last month, reflecting weak demand from life insurers, major investors in super-long bonds, which have already completed their asset-liability duration matching to comply with the Financial Services Agency's regulations.
On Tuesday, yields on shorter-dated bonds edged up, amid worries that the possible cuts in the longer dated bonds would bring an increase in issuance of shorter-dated bonds.
The two-year JGB yield rose 0.5 bp to 0.775% and the five-year yield rose 0.5 bp to 1.035%.
The 10-year JGB yield fell 0.5 bp to 1.465%
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Khaleej Times
9 hours ago
- Khaleej Times
Saudi crude oil supply to China to dip in July, sources say
Saudi Arabia's crude oil supply to China is set to dip slightly in July, trade sources said on Tuesday, but still strong for a third straight month as the OPEC leader regains its market share supplying the world's top crude importer. State oil firm Saudi Aramco will ship about 47 million barrels to China in July, a tally of allocations to Chinese refiners showed, 1 million barrels less than June's allotted volume. State refiners Sinopec, PetroChina and Aramco's joint venture Fujian refinery will be receiving more crude in July, while the allocation for independent refiners Rongsheng Petrochemical, Hengli Petrochemical and Shenghong Petrochemical will dip, the sources said. Saudi Aramco did not immediately respond to a request for comment. The robust Saudi supply comes after the Organization of the Petroleum Exporting Countries and their allies, known as OPEC+, agreed to hike output in July by 411,000 barrels per day for a third consecutive month. Since April, the OPEC+ eight have now made or announced increases totalling 1.37 million bpd, or 62% of the 2.2 million bpd they aim to add back to the market.
Arabian Business
9 hours ago
- Arabian Business
Energy
Petrochem founder Yogesh Mehta reflects on a life built from hardship, a company forged from belief, and the handover to a new generation. This is a story about business. But more than that – it's a story about what it means to live well
Al Etihad
12 hours ago
- Al Etihad
UAE Ministry of Finance hosts awareness session for Emirati students in China on career opportunities in international financial organisations
10 June 2025 16:26 SHANGHAI (ALETIHAD)The Ministry of Finance, in collaboration with the UAE Consulate General in Shanghai and the New Development Bank, organised an awareness session for Emirati students studying in China as part of the 'UAE Global Cadres' at the New Development Bank's headquarters in Shanghai, the session aimed to explore recruitment and training mechanisms in multilateral organisations, as well as pathways to build a career in the international financial included His Excellency Muhannad Sulaiman Al Naqbi, Consul General of the UAE in Shanghai; Thuraiya Hamid Alhashmi, Director of International Financial Relations and Organisations Department at MoF and Board Member of the New Development Bank; and Qiangwu Zhou, Vice-President and CAO of the New Development Bank, as well as other senior bank event is part of the UAE's commitment to expanding the presence of its national talent in the global financial arena and increasing awareness among Emirati students about career opportunities within international financial institutions. Stimulate National Talent Acting Assistant Undersecretary for International Financial Relations at the Ministry of Finance, Ali Abdullah Sharafi, said, 'The Ministry is committed to creating an interactive environment that brings together young Emirati talent with influential international organisations to stimulate national talent and enable them to explore career opportunities in the global financial sector.''Such meetings offer a direct window into the realities of working in multilateral organisations and give students the opportunity to learn from real-life experiences and discover promising career paths.'Sharafi added, 'We believe that building a strong Emirati cadre on the international stage begins with investing in knowledge and communication, an approach we are committed to advancing through initiatives like these.' Bridges of Communication Meanwhile, Ambassador Muhannad Sulaiman Al Naqbi emphasised that the session is a testament to the collaborative efforts between the Ministry of Finance and the UAE's diplomatic missions, with both sharing the same goal: empowering the nation's youth to succeed on the global added, 'The UAE Global Cadres initiative is an extension of the country's diplomatic approach to building bridges of communication between Emirati students and influential global organisations.' 'We hope this session inspires students to explore new horizons in the international financial sector and, in doing so, strengthen their contributions to both the national and global economies,' Al Naqbi session began with a welcome speech by Qiangwu Zhou, who greeted the students and commended the ongoing collaboration between the bank and the said, 'We are delighted to host this panel discussion, which highlighted the strong interest and awareness among Emirati students in international business. Investing in young talent has been and will continue to be a top priority for us.'He added, 'Events such as this provide invaluable opportunities to introduce the next generation to fulfilling careers within multilateral organisations, while fostering diversity and expertise in the Bank's future workforce.' PresentationsThe session explored the importance of the UAE Global Cadres Initiative in empowering Emiratis to pursue career and training opportunities within leading international financial institutions. The initiative supports this goal by offering introductory programmes, specialised knowledge content, and fostering strategic partnerships with entities such as the New Development Bank (NDB).The discussions also touched on the Ministry of Finance's efforts to create an enabling environment for Emiratis seeking to enter multilateral institutions. These efforts include support with application procedures, secondment opportunities, and tailored training from the New Development Bank delivered presentations outlining recruitment mechanisms and professional development pathways available within the organisation. They detailed key programmes targeting young talent, application processes, admission criteria, and the skillsets and specialisations most in for their part, actively engaged during the session, posing questions on application requirements, areas of specialisation, and the day-to-day working environment at the bank. This gathering is part of the Ministry's ongoing efforts to deepen strategic partnerships with international financial institutions and expand career opportunities for UAE nationals, driving the country's vision of building a globally competitive and influential national workforce.
