Japanese government bond (JGB) yields rose for an eighth consecutive day on Tuesday, reaching a fresh 12-year high of 1.035%. The rise in JGB yields has led to renewed scrutiny, as investors focus on Japanese consumers and Australian inflation. The Bank of Japan (BOJ) Governor Kazuo Ueda stated that the bank's 'basic stance' is that long-term bond yields should be set by markets. Higher bond yields could increase the BOJ's interest bill, while also potentially supporting the yen. However, if JGB yields continue to rise, it could put pressure on Japan Inc. as it may boost the yen. In addition to the movement in JGB yields, market participants are closely watching key developments such as Australia's inflation data for April and Japan's consumer confidence for May. [8e64aeea]
Japanese government bond (JGB) yields struggled for a clear direction on Thursday, as investors awaited more clues on the interest rate paths of both the Federal Reserve and the Bank of Japan (BOJ) ahead of key U.S. economic data and the BOJ's policy decision. The 10-year JGB yield rose 0.5 basis point (bp) to 0.890%, sitting at its highest since Nov. 13, as the BOJ began its two-day policy meeting. The BOJ is expected to stand pat at its April meeting, but it is likely to project that inflation will stay around its 2% target for the next three years in new forecasts. The yen's slide to fresh 34-year lows may force BOJ Governor Kazuo Ueda to walk a delicate line in guiding monetary policy. The Japanese currency hit a new 34-year low of 155.45 against the U.S. dollar on Thursday. The two-year JGB yield fell 0.5 bp to 0.295% on Thursday, after touching 0.3%, its highest level since July 2009, earlier this week. Attention will also be on U.S. first quarter gross domestic product data, due later on Thursday, and personal consumption expenditures for March due on Friday. [d3b16a3f]
Japanese government bond (JGB) yields rose 3.5 basis points to 0.62% as of 0613 GMT, marking a subdued end to the most volatile year since 2008. The 10-year JGB yield experienced significant fluctuations throughout the year, swinging from as low as 0.24% in March to a decade-high of 0.97% in November. Overall, the Japanese 10-year yield is set to end the year with a 21 basis points rise. Many analysts and investors anticipate a change in policy by April, with expectations of the Bank of Japan (BOJ) scaling back its ultra-loose monetary policy. The recent increase in US Treasury yields, driven by optimism about the possibility of the Federal Reserve cutting interest rates sooner than expected, has influenced JGB yields. However, economic data continues to indicate a resilient economy, despite sticky inflation. Investors are now focused on the movement of US Treasury yields and the upcoming US Personal Consumption Expenditures (PCE) reading, which could impact JGB yields if it shows further slowing in domestic inflation. Additionally, the BOJ's potential policy tightening and thin liquidity in the Treasuries market during December are causing exaggerated market moves. [529c52d2]
Japanese government bond yields climbed on Wednesday, tracking a rise for U.S. Treasury yields ahead of the conclusion of the Federal Reserve's two-day policy meeting later in the day. The 10-year JGB yield rose 2 basis points to 0.89% as of 0543 GMT on Wednesday, recouping some ground lost the previous day. The U.S. 10-year Treasury yield was little changed at 4.6862%. With the U.S. central bank universally expected to keep rates steady on Wednesday, the focus will be on Chair Jerome Powell's post-meeting news conference, where he is likely to retain his recent hawkish tone amid robust economic data and stubborn inflation. The Japanese central bank raised rates for the first time since 2007 in March. [f73bd390]