|    FM Home   |    FM News   |    FM Forum   |    FM Blog   |   
Saturday 22nd of August 2009
May 9, 2006

Bond yields down in Japan


by Elaine Frei

Yields on US Treasury bonds were higher on Tuesday ahead of an auction of new issues on Wednesday and Thursday and in anticipation of the meeting of the Federal Reserve on Wednesday to make a decision on interest rates. The Treasury is set to auction three-year paper on Wednesday and ten-year notes on Thursday. Also affecting the bond market was anticipation of a Treasury report to be issued on Wednesday that could call China a “currency manipulator”.

By the middle of the day in New York, three-year bonds were yielding 4.996 percent, a gain of 1.9 basis points, while ten-year bonds were up 2.3 basis points to a yield of 5.14 percent.

Gilt yields in the UK were up as well, on strong retail sales figures that made an increase in UK interest rates more of a possibility in the near term. Ten-year gilts were up 1 basis point to 4.735 percent. Two-year gilts added 1.1 basis points to yield 4.771 percent.

Yields of European government bonds also rose, on the assumption that the Federal Reserve will hike interest rates to 5 percent at their Wednesday meeting. The two-year Schatz added 5.8 basis points to a yield of 3.418 percent, while the ten-year Bund yielded 4.024 percent, a gain of 2 basis points.

Elsewhere, yields were down on Japanese government bonds after a report that the Bank of Japan might tighten monetary policy sooner than had been expected. Yields on the ten-year government bond dropped one basis point to 1.960 percent.

Discuss this in the Finance Markets forums

Story link: Bond yields down in Japan


Add to Bookmarks:

ADD TO DEL.ICIO.US     ADD TO DIGG     ADD TO FURL

ADD TO STUMBLEUPON     ADD TO YAHOO MYWEB     ADD TO GOOGLE     ADD TO SPURL

 

Tags:

 

Previous: « US dollar weaker again
Next: Eurofirst up on cars, telecoms »

Visited 423 times, 1 so far today

No Comments »

No comments yet.

RSS feed for comments on this post.

Leave a comment