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JGB rises as BOJ official reiterates readiness to raise rates
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JGB rises as BOJ official reiterates readiness to raise rates
Aug 29, 2024 9:10 AM

TOKYO, Aug 28 (Reuters) - Japanese government bond

yields rose on Wednesday as a senior Bank of Japan (BOJ)

official reiterated the central bank's readiness to raise rates

if inflation stayed on course.

BOJ Deputy Governor Ryozo Himino said there was no change to

the central bank's stance that it would adjust monetary easing

if economic activity and prices were likely to meet projections.

The 10-year JGB yield rose 1.5 basis points

(bps) to 0.890%. The five-year yield rose 1 bp to

0.505%.

"The comments from Himino were not a surprise but were the

only cue that moved yields today," said Katsutoshi Inadome, a

senior strategist at Sumitomo Mitsui Trust Asset Management.

"Trading was thin after the market digested big events at

the end of last week, so a small sell-off could have lifted the

yields higher," said Inadome, referring to remarks by Federal

Reserve Chair Jerome Powell and BOJ Governor Kazuo Ueda.

Last week, Powell endorsed an imminent start to rate cuts,

while Ueda reaffirmed his resolve to raise rates.

The two-year JGB yield rose 1 bp to 0.37%.

The 20-year JGB yield rose 1 bp to 1.690%.

The 30-year JGB yield fell 0.5 bp to 2.045%.

The 40-year JGB yield rose 1 bp to 2.315%.

(Reporting by Junko Fujita; Editing by Subhranshu Sahu)

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