JGBs remain mixed ahead of October household spending data, 30-year auction

The Japanese government bonds remained mixed on Thursday ahead of the country’s household spending data for the month of October, scheduled to be released today by 23:30GMT and the super-long 30-year auction, due on December 7 will add detailed direction to the debt market.

The yield on the benchmark 10-year JGB note, which moves inversely to its price, jumped 5 basis points to 0.050 percent, the yield on the long-term 30-year note hovered around 0.789 percent while the yield on short-term 2-year plunged 15 basis points to -0.149 percent by 05:00GMT.

US markets were closed yesterday due to a national day of mourning for former President George H.W. Bush. On the trade front, according to Bloomberg, Chinese officials have begun preparing to restart imports of US soybeans and LNG although the Chinese Ministry of Commerce has not responded to request for comments regarding this.

Further, OPEC+ members have agreed to undertake a production cut in 2019 (with the participation of Russia for six months) despite President Trump’s insistence that they keep the taps flowing, OCBC Bank reported in its Daily Treasury Outlook.

Meanwhile, the Nikkei 225 index slumped 2.45 to 21,384.50 by 05:15GMT, while at 05:00GMT, the FxWirePro's Hourly JPY Strength Index remained highly bullish at 121.76 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex