JGB yields track global bond rally; dovish BOJ member reportedly signals support for hikes
TLT•Japanese government bond yields fell as global bond yields declined. The 10-year JGB yield dropped 1 basis point to 3.085%, while a dovish BOJ policymaker reportedly backed further rate increases.
1. Yields decline
Japanese government bond yields fell, tracking declines in global bond yields. The benchmark 10-year yield fell 1 basis point to 3.085%; the two-year yield slipped 0.5 basis point to 1.92%, the five-year yield was flat at 2.390%, and the 30-year yield fell 3 basis points to 4.205%.
2. BOJ comments
New Bank of Japan policymaker Ayano Sato reportedly said she supports raising rates in several stages. Sato was one of two dissenters when the central bank raised rates in September. Shuichi Ohsaki of Meiji Yasuda Asset Management said her remarks would not affect the BOJ’s overall direction, while market participants were split on how rate hikes could affect yields.
