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Japan’s 10-year yield near two-week lows on easing caution over BOJ’s bond purchase plan
Japan’s 10-year government bond yield fell to a near two-week low on Monday, tracking the drop in US Treasury yields in the previous session and due to receding caution of any surprises in the Bank of Japan’s plans to reduce bond purchases. The 10-year JGB yield fell 3 basis points (bps) to 1.025%, its lowest level since July 17. The five-year yield fell 2.5 bps to 0.6%. “The market expects that the BOJ will not give any negative surprise on Wednesday when it announces its bond-buying plans,” said Naoya Hasegawa, chief bond strategist at Okasan Securities. The BOJ is expected to unveil details of a ... (full story)