The Japanese government bonds remained flat on the second trading day of the week Tuesday ahead of the country’s 30-year auction and November household spending data, both scheduled to be released on January 10 by 03:35GMT and 23:30GMT respectively.
The yield on the benchmark 10-year JGB note, which moves inversely to its price, remained flat at -0.016 percent, the yield on the long-term 30-year note hovered around 0.682 percent and the yield on short-term 2-year too traded steady at -0.165 percent by 05:40GMT.
"Global risk appetite remained on the mend overnight, aided by market optimism over the US-China trade talks (with Commerce Secretary Wilbur Ross opining that “there’s a very good chance that we’ll get a reasonable settlement that China can live with, that we can live with, and that addresses all the key issues” and Liu He making a surprise appearance) and North Korean leader Kim Jong Un making his fourth visit to China ahead of a possible second summit with US president Trump. Separately, Trump will also be delivering a prime-time speech to address the humanitarian and national security crisis ahead of his trip to the US-Mexican border on Thursday)", OCBC Treasury Research reported.
Meanwhile, the Nikkei 225 index traded 1.01 percent higher at 20,238.50 by 05:45GMT, while at 05:00GMT, the FxWirePro's Hourly JPY Strength Index remained highly bearish at -173.95 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex


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