Taiwan Govt Bonds Higher; 5-Year Yield Support At 0.90%

Taiwan government bonds rise sharply as investors seek safety in fixed-income assets after dismal U.S. payrolls data Friday cast further doubts over the health of the global economy, says a local trader. "Major investors, such as local banks, are covering their short positions in bonds," he says. He adds, if local stocks (the Taiex is last down 3.1%) extend losses before the close, bond prices will likely rise further. The most-traded five-year yield is at 0.9144%, after hitting a two-year low at 0.9090% vs 0.9290% at Friday's close; the trader tips the yield to find major support at 0.9000%. The 10-year bond yield is at 1.2125% vs 1.2410% late Friday.

Taiwan Govt Bonds Higher; 5-Year Yield Support At 0.90%

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