TOKYO, June 22 (Reuters) - Benchmark Japanese government
bond (JGB) yields extended gains for a third day on Monday, as
inflation and fiscal concerns simmered.
Here are a few details:
* The 10-year JGB yield climbed 3 basis
points to 2.675%. Yields move inversely to bond prices.
* Japan Prime Minister Sanae Takaichi's administration plans
to set a target of about 370 trillion yen ($2.29 trillion) in
public and private investment by 2040 as part of a new growth
strategy, the Nikkei reported on Friday.
* "Fiscal expansion could lead to a further upward spike in
inflation, which, in turn, could trigger a rise in interest
rates and further intensify fiscal concerns, creating a vicious
cycle," Ataru Okumura, a senior rate strategist at SMBC Nikko
Securities, said in a note.
* Markets are growing more certain that the Bank of Japan
will continue raising rates after its recent hike to 1%, as
policymakers focus on inflation risks tied to energy costs and a
weak yen.
* Data on Friday showed Japan's annual core inflation stayed
below the central bank's 2% target for a fourth consecutive
month in May.
* "The view is that this data print is unlikely to derail
the Bank of Japan's gradual tightening bias that they're
delivering," said Skye Masters, head of markets research at the
National Australia Bank.
($1 = 161.2800 yen)