JGBs little changed, 10-year auctions slightly low
TOKYO, June 3 (Reuters) – Japanese government bonds were very mixed on Thursday, as 10-year bonds were rocked by slightly weak auction results while other maturities remained stable to firmer, reflecting the prices of US bonds overnight.
Overall, the market was little moved as investors took only minimal action ahead of important US jobs data later in the week.
The 10-year JGB yield rose 0.5 basis point to 0.080%.
Demand at the 2.6 trillion yen ($ 23.68 billion) 10-year JGB auction was a bit weaker than expected, leading the auction tail to widen to 0, 06 against 0.02 in the previous auction.
Nonetheless, the market was broadly supported as most investors sat on the sidelines before Friday’s US wage data.
The 20-year JGB yield was flat at 0.455%, while the 30-year yield fell 0.5 basis points to 0.685% from the nearly two-month high reached in the previous session.
The five-year yield remained stable at minus 0.1%. Benchmark 10-year JGB futures contracts rose 0.02 points to 151.49, with volume traded at 22,938 lots.
US bonds remained firm in the previous session ahead of private wage data on Thursday and the federal monthly jobs report on Friday. ($ 1 = 109.80 yen) (Tokyo Markets Team Report; Editing by Rashmi Aich)