Latest news with #SMBCNikko
Yahoo
13 hours ago
- Business
- Yahoo
Japan's Bonds Pass 10-Year Supply Test as 30-Year Sale Looms
(Bloomberg) -- Stronger demand at Japan's 10-year bond sale brought some temporary relief as traders position for another auction in less than 48 hours that will test appetite for longer-dated debt. Where the Wild Children's Museums Are Billionaire Steve Cohen Wants NY to Expand Taxpayer-Backed Ferry The Economic Benefits of Paying Workers to Move Now With Colorful Blocks, Tirana's Pyramid Represents a Changing Albania At London's New Design Museum, Visitors Get Hands-On Access Government bond futures inched up to 139.15 as of 3:45 p.m. in Tokyo after a key gauge of demand at Tuesday's auction rose to the highest since April 2024. Ten-year bond yields fell 2.5 basis points to 1.48%. Investors are still wary as the market has to absorb 30-year supply on Thursday against a backdrop of rising long-term yields globally. Read: A Guide to Japan's Closely Watched Government Bond Auctions 'It was a good result as the 1.5% level was easy to buy at,' said Miki Den, a senior rates strategist at SMBC Nikko Securities Inc. in Tokyo. 'Although this will support the bond market, it's unlikely that yields will fall rapidly,' with the 30-year auction looming. Confidence in longer-maturity notes globally has been crumbling as investors are concerned about massive budget deficits, which may result in heftier debt loads in some of the world's biggest economies. On top of that, the Bank of Japan's pullback from its huge bond purchases has led to a sharp steepening of the nation's bond curve and heightened worries about government borrowing. In a sign of concern about the investor base for Japanese bonds, the government is urging more domestic buying of the notes, according to a draft of its annual fiscal policy plan seen by Bloomberg. The selloff in Japanese bonds has been exacerbated by concerns about which investors will step in as the BOJ reduces its holdings. Governor Kazuo Ueda hinted that the central bank may continue to slow the pace of government bond buying next fiscal year, in response to questions in parliament Tuesday. The central bank will review its bond purchase plan at its June 16-17 policy meeting. After years of yields being pinned down at artificially low levels by the central bank, Japan's bond market is now experiencing a painful transition to normal functioning. This was laid bare by a lack of demand at Japan's 20- and 40-year debt sales last month. Investors will be paying close attention to the 30-year auction after yields last month hit 3.185%, the highest level since the tenor was first sold. Thirty-year yields rose half a basis point to 2.935% on Tuesday afternoon in Tokyo. Since last summer, Japan's central bank has been reducing its purchases of government bonds by ¥400 billion ($2.8 billion) every quarter, but that process will likely come to a halt, former board member Makoto Sakurai said in an interview Monday in Tokyo. Speculation has increased that the finance ministry may adjust its debt sales after it sent a questionnaire last week to market participants asking their views on issuance and the current situation. That news 'may have reduced concerns about the problems in the super-long sector spilling over into 10-year bonds,' said Katsutoshi Inadome, a senior strategist at Sumitomo Mitsui Trust Asset Management Co. The bid-to-cover ratio at the ¥2.6 trillion sale of 10-year notes rose to 3.66, compared with 2.54 at last month's auction, and higher than the average over the past year. 'With the 30-year bond auction coming up on Thursday, the fog will not lift all at once, but this result is rather good news,' said Inadome. --With assistance from Masaki Kondo, Naoto Hosoda, Hidenori Yamanaka, Eddy Duan and Yuko Takeo. (Adds government's draft fiscal policy plan in fifth paragraph, updates bond yields.) YouTube Is Swallowing TV Whole, and It's Coming for the Sitcom Millions of Americans Are Obsessed With This Japanese Barbecue Sauce Mark Zuckerberg Loves MAGA Now. Will MAGA Ever Love Him Back? Trump Considers Deporting Migrants to Rwanda After the UK Decides Not To Will Small Business Owners Knock Down Trump's Mighty Tariffs? ©2025 Bloomberg L.P.
Wall Street Journal
08-05-2025
- Business
- Wall Street Journal
JGBs Consolidate Ahead of Finance Ministry's 10-Year Auction
0020 GMT — JGBs consolidate in the morning Tokyo session ahead of the Japanese Finance Ministry's auction today of 2.6 trillion yen in 10-year government bonds. 'Tariff uncertainty could sap auction bids from some quarters,' SMBC Nikko Securities' Miki Den says in a research report. However, the Bank of Japan's dovish posturing has probably led to many investors trimming their outlook on JGB yields, so the auction is expected to 'clear smoothly,' the senior Japan rates strategist adds. The 10-year JGB yield is down 0.5bps at 1.290%. (
Japan Times
07-05-2025
- Business
- Japan Times
SMBC Nikko hires former Nomura and Citi top executives in rebuild
SMBC Nikko Securities hired a pair of top executives from rival firms, as the brokerage rebuilds its talent bench following a market manipulation scandal. The unit of Sumitomo Mitsui Financial Group hired former Nomura Holdings senior executive Susumu Usui as co-head of equity and ex-Citigroup's Keita Matsumoto as head of financial markets, according to a statement by the firm. Their appointments are effective June 1, the firm said. SMBC Nikko is seeking to strengthen its business following the rigging scandal more than two years ago, which led to the loss of several equity executives. It suffered a setback recently, posting a net loss for the quarter ended March 31. Usui left Nomura after spending more than a quarter-century at Japan's biggest brokerage. He was most recently based in Hong Kong co-leading global execution services as a member of the firm's senior management lineup announced last year. Usui's previous roles included overseeing trading services in Japan, according to his LinkedIn profile. Matsumoto was head of institutional sales at Citigroup's Tokyo investment banking subsidiary and left earlier this year. At SMBC Nikko, he will replace Nobuaki Nakamura as head of financial markets. With the new appointments at SMBC Nikko, Kazuhiko Sawanobori becomes advisor from his current role as co-head of equity. Nakamura retains his role as co-head of the global markets unit, the firm said.
Bloomberg
07-05-2025
- Automotive
- Bloomberg
Toyoda Taps Bankers for $42 Billion Buyout as Soon as November
Toyota Motor Corp. Chairman Akio Toyoda's $42 billion plan to buy out Toyota Industries Corp. is progressing, with the parties involved having picked financial advisers and working toward a tender offer as soon as November, people familiar with the matter said. The special purpose vehicle established by Toyoda for the buyout is being advised by Nomura Holdings Inc., while Toyota Industries has appointed SMBC Nikko Securities Inc. as its adviser, the people said, asking not to be identified discussing private matters.
Bloomberg
07-05-2025
- Business
- Bloomberg
SMBC Nikko Hires Former Long-Serving Nomura Executive Usui
SMBC Nikko Securities Inc. has hired former Nomura Holdings Inc. senior executive Susumu Usui, who spent more than a quarter-century at Japan's biggest brokerage, according to people familiar with the matter. Usui started this month at SMBC Nikko, the brokerage arm of Sumitomo Mitsui Financial Group Inc., the people said, asking not to be identified discussing non-public information. He left Nomura in recent months, according to his LinkedIn profile.
