Thursday, October 24, 2013
10-Yr, 20-Yr JGB Yields Hit 5.5-Month Low
TOKYO (NQN)--The yield on newly issued 10-year government bonds briefly fell to 0.595% Thursday morning, the lowest level since May 7.
With the dollar falling against the yen and the Nikkei Stock Average moving in negative territory, investors are turning to the relative safety of Japanese government bonds.
An official at an asset management firm said a lack of bond-selling incentives is drawing more investors to the instruments.
The yield on newly issued 20-year government bonds fell 1.5 basis points to 1.440%, the lowest level in five and a half months. An official at a domestic brokerage said investors are buying long-term bonds because they offer higher yields than medium-term bonds.
The key December bond futures contract briefly rose to 145.03 yen, the highest level in five and a half months.
(Nikkei Quick News, Oct. 24)