Japanese government bonds were mixed in early Tokyo trade, with futures higher and the 30-year yield rising as a rally in U.S. Treasurys after softer U.S. inflation data supported broader bond sentiment.
Japanese government bonds were mixed in early Tokyo trading, with benchmark 10-year JGB futures rising 0.42 yen to 128.08 yen while the 30-year JGB yield added 2 basis points to 3.755%. The move came as Treasurys led a broader global bond rally after a softer-than-expected U.S. CPI report and strong U.S. bank earnings boosted investor sentiment, reinforcing the tendency for JGBs and U.S. Treasurys to move in tandem. NAB’s Skye Masters said Treasurys had led the advance in global bonds.