Japanese government bonds traded tad lower during Asian session Tuesday as investors wait to see a slight rise in the country’s national consumer price inflation data, scheduled to be released on March 22 by 23:30GMT.
The yield on the benchmark 10-year Treasury note, which moves inversely to its price, slightly rose to 0.04 percent, the yield on the long-term 20-year note edged nearly 1/2 basis point higher to 0.75 percent and the yield on short-term 2-year hovered around -0.15 percent by 04:35 GMT.
Market participants expect to see national core CPI for the month of February to come in at 1.0 percent y/y, compared to 0.9 percent same period a year ago, while the national CPI for the same period is expected at 1.5 percent y/y, from prior 1.4 percent.
According to the March policy meeting minutes, released Monday, the BoJ kept monetary settings unchanged and its chief brushed aside speculation of an early exit from quantitative easing.
"There is no change in the judgment that it is necessary to continue pursuing powerful monetary easing with persistence so that highly accommodative financial conditions are maintained", Reuters reported, citing one board member.
One policy member said further that the yen strength and stock declines could curb capital expenditure and consumer spending, which could delay reaching the inflation target, the summary showed.
Meanwhile, the Nikkei 225 index traded 0.65 percent lower at 21,342.00 by 04:40 GMT, while at 04:00GMT, the FxWirePro's Hourly JPY Strength Index remained neutral at -53.77 (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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