Japan's MOF sells Y1.1 trillion of 1.6% 20-year bonds with lowest price of 99.20 yielding 1.653%, lower than market expectations of 99.40. "A 1.6% coupon just couldn't really muster demand," says Mizuho Securities strategist Jun Kawakami, who sees the results as weak, but says demand for the superlong end could very possibly increase if yields increase. The bid-to-cover ratio improved to 3.73 from 3.34 at last tender in April, while the tail was longer at 0.18 vs 0.08 at last tender. Lead June JGB futures are down 0.04 at 143.21; the contract dipped to as low as 143.16 when the tender results were released. The benchmark 20-year yield is down 1 basis point at 1.645%.
Find us on Google+
No comments:
Post a Comment