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JGB yields rise as inflation concerns grow on BOJ policy outlook
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JGB yields rise as inflation concerns grow on BOJ policy outlook
Jun 28, 2026 10:20 PM

TOKYO, June 29 (Reuters) - Japanese government bond (JGB)

yields rose on Monday as concerns over inflation intensified

after local media reported the government may push the Bank of

Japan to align its decisions with Prime Minister Sanae

Takaichi's pro-growth economic agenda.

Here are a few details:

* The benchmark 10-year JGB yield rose 5

basis points (bps) to 2.645%. Yields move inversely to bond

prices.

* The 20-year JGB yield climbed 5.5 bps to

3.565%. The 30-year yield added 6 bps to 3.855%.

* The government is expected to address the importance of

the "appropriate monetary policy" in its basic policy framework

for economic and fiscal management to be released next month,

Kyodo News reported over the weekend.

* The move is aimed at reining in the central bank's

willingness to keep raising interest rates, the report said.

* "This has raised concerns that the BOJ will be behind in

raising interest rates to cope with inflation," said Yuki

Kimura, a bond strategist at Okasan Securities.

* Japan's government will aim to entrench annual real

economic growth of more than 1%, Reuters reported on Monday,

citing the draft of the basic policy framework for economic and

fiscal management.

* Japan's average real growth rate over the last five years

was 0.4%.

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