JGBs mixed on limited impact from BoJ’s November monetary policy meeting minutes

The Japanese government bonds traded mixed Monday following limited market reaction from the Bank of Japan’s (BoJ) monetary policy meeting minutes for the month of November, released earlier today.

The yield on the benchmark 10-year JGB note, which moves inversely to its price, jumped 13 basis points to 0.129 percent, the yield on the long-term 30-year note rose 1 basis point to 0.885 percent and the yield on short-term 2-year traded nearly 13 basis points lower at -0.128 percent by 05:30GMT.

According to a report from FxStreet, the central bank’s meeting minutes said that "In the money market, interest rates on both overnight and term instruments had been generally in negative territory. Japan's economy was expanding moderately, with a virtuous cycle from income to spending operating, and was likely to continue its moderate expansion. As for prices, members concurred that the year-on-year rate of change in the CPI for all items less fresh food was in the range of 0.5-1.0 percent, and the rate of increase in the CPI for all items less fresh food and energy remained in the range of 0.0-0.5 percent, due partly to firms' cautious wage- and price-setting stance.".

Meanwhile, the Nikkei 225 index closes 1.63 percent lower at 21,879.50, while at 07:00GMT, the FxWirePro's Hourly JPY Strength Index remained highly bearish at -140.587 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex