Company News

Long-dated JGB yields dip on stabilising U.S. Treasuries, BOJ buying

TOKYO, Aug 19 (Reuters) - Long-dated Japanese government bond (JGB) yields dipped on Wednesday, supported by signs of stabilisation in U.S. bonds and strong results of the Bank of Japan’s buying in long-term JGBs.

Benchmark 10-year JGB futures rose 0.07 point to 151.95, rising for a third day in a row, in line with recovery in U.S. Treasuries prices this week. Treasuries fell sharply last week under the weight of record supply.

The 10-year JGB yield fell 0.5 basis point to 0.030%.

The BOJ’s buying of five- to ten-year JGBs on Wednesday saw limited selling from market players, helping to warm up market sentiment.

The 20-year JGB yield fell 1 basis point to 0.415% while the 30-year yield fell 1.5 basis points to 0.600%.

At the shorter end, yields were little changed, with yields on two-year JGBs and five-year bonds both flat at minus 0.125% and minus 0.090%, respectively.

Reporting by Tokyo Markets Team; editing by Uttaresh.V