Latest news with #OkasanSecurities
Business Recorder
2 days ago
- Business
- Business Recorder
JGBs trade in a tight range as reports on bond buyback, stimulus measures weigh
TOKYO: Japanese government bonds moved in a narrow range on Tuesday as traders weighed reports about lawmakers considering a possible buyback of longer-dated debt and fresh stimulus measures. The 30-year JGB yield fell to as low as 2.86% earlier in the session. It was last trading at 2.92%, up 1 basis point (bp) from the previous session. Yields move inversely to prices. Reuters reported that Japan is considering buying back some super-long government bonds issued in the past at low interest rates. The move shows the finance ministry's willingness to improve demand for bonds with super-long maturities, whose yields touched record highs last month, said Naoya Hasegawa, chief bond strategist at Okasan Securities. The latest report comes as the market awaits details of the ministry's bond sale plans. Reuters reported last month that it was 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. Meanwhile, local media reported on Tuesday that Japan's ruling coalition agreed to include a plan to distribute cash handouts in their election campaign pledges. The move, which adds to concerns over the government's already tattered finances, prompted investors to sell shorter-dated bonds, said Katsutoshi Inadome, senior strategist at Sumitomo Mitsui Trust Asset Management. JGB yields track US peers higher after resilient labour data The 10-year JGB yield rose to as high as 1.48%, before easing to 1.475%, up 0.5 bp from the previous session. The five-year yield was flat at 1.03%, after rising to 1.04% earlier in the session. 'Without the report on bond buybacks, the JGBs could have seen a sell-off across the curve,' Inadome added.
Zawya
2 days ago
- Business
- Zawya
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%
Time of India
27-05-2025
- Business
- Time of India
Japan's super-long bond yields fall sharply after heavy sell-off
Yields on super-long Japanese government bonds (JGBs) fell sharply in early trade on Tuesday as investors snapped up bargains following recent steep sell-offs. The 30-year JGB yield fell 10 basis points (bps) to 2.935%, its lowest since May 14. The 40-year JGB yield lost 10.5 bps to 3.43%. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Cara Membantu Orang Terkasih Menghadapi Limfoma Limfoma Pelajari Undo "Those bonds looked cheap for investors after their yields rose steeply, which boosted appetite for bonds," said Naoya Hasegawa, chief bond strategist at Okasan Securities. Bonds Corner Powered By Japan's super-long bond yields fall sharply after heavy sell-off Yields on super-long Japanese government bonds (JGBs) fell sharply in early trade on Tuesday as investors snapped up bargains following recent steep sell-offs. Beyond credit ratings: Building a more multifaceted framework for assessing risk in alternative debt markets How will RBI's Rs 2.69 lakh crore dividend impact bond yields? India bonds overcome RBI surplus-led fall, rise on policy easing bets India rate cut bets cap upward move in bond yields post RBI surplus letdown Browse all Bonds News with The 20-year JGB yield shed 7 bps to 2.435%. Long-dated debt has been sold off around the world in recent weeks, and in Japan, concerns have been exacerbated by a drop in bond buying by the central bank and political jockeying over stimulus. Live Events "Also, there is an expectation among market players that the Ministry of Finance might reduce the sale of those bonds," Hasegawa said. But the decline in sales of those bonds could boost the issuance of shorter-dated bonds, which likely capped the decline in 10-year JGBs on Tuesday, Hasegawa added. The 10-year JGB yield fell 2 bps to 1.485%. The five-year yield was flat at 1.01%.
CNA
27-05-2025
- Business
- CNA
Japan's super-long bond yields plunge on issuance cut speculation
TOKYO :Yields on super-long Japanese government bonds (JGBs) fell sharply on Tuesday after Reuters reported the country's finance ministry might issue fewer of these bonds. The 30-year JGB yield fell sharply following the report, dropping 18.5 basis points (bps) to 2.85 per cent. It traded as high as 2.955 per cent earlier in the session. The 20-year JGB yield fell 16.5 bps to 2.34 per cent, after trading as high as 2.44 per cent, while the 40-year yield sank 24 bps to 3.295 per cent, after touching a session high of 3.435 per cent. The 30-, 20- and 40-year yields had all fallen by smaller margins earlier in the session on expectations that the government would step in to curb a sell-off in super-long bonds. The yields extended their declines after Reuters reported that Japan's Ministry of Finance (MOF) will consider tweaking the composition of its bond programme for this fiscal year, which could involve trimming the issuance of super-long bonds. Last week, yields surged to record levels as a weak auction of the 20-year paper coincided with concerns about political jockeying over a government stimulus program and the likelihood that the Bank of Japan (BOJ) would curb its purchases. "The yields on bonds with super-long maturities extended declines (after the Reuters report), but those on shorter-dated bonds rose on concerns that the MOF may increase the sale of those bonds," said Naoya Hasegawa, chief bond strategist at Okasan Securities. The 10-year JGB yield was off just 4 bps to 1.465 per cent. The two-year JGB yield was last up 1 bp to 0.73 per cent.
CNA
27-05-2025
- Business
- CNA
Japan's super-long bond yields slide on optimism over likely cut in MOF sales
TOKYO :Yields on super-long Japanese government bonds (JGBs) fell sharply on Tuesday after Reuters reported the finance ministry may reduce the issuance of those bonds. The 30-year JGB yield extended the declines, falling 12.5 basis points (bps) to 2.91 per cent, its lowest since May 14. The 20-year JGB yield fell 13.5 bps to 2.37 per cent. Japan's Ministry of Finance (MOF) will consider tweaking the composition of its bond programme for the current fiscal year, which could involve trimming the issuance of super-long bonds, two sources told Reuters on Tuesday. The report came as the market expected the government to step in to curb the sell-off. The yields on long-dated debt rose to record highs amid concerns over a drop in bond buying by the Bank of Japan (BOJ) and political jockeying over stimulus. "The yields on bonds with super-long maturities extended declines (after the report), but those on shorter-dated bonds rose on concerns that the MOF may increase the sale of those bonds," said Naoya Hasegawa, chief bond strategist at Okasan Securities. The 10-year JGB yield also extended declines, falling 4.5 bps to 1.46 per cent. If the MOF were to reduce issuance of 20-, 30- or 40-year Japanese government bonds, it would likely increase issuance of shorter-dated debt instead, the sources said. The two-year JGB yield was last up 0.5 bp to 0.725 per cent.
