Citibank: Japan's 30-year government bond yields are expected to remain within a range of fluctuations

Gold Ten Data November 10th: Tomohisa Fujiki from Citigroup Investment Research stated in a report that the compound yield of the 30-year Japanese government bond may remain in the range of 3% to 3.2% in the near future. The strategist said, “We believe that regardless of the budget size, a reduction in issuance scale will support ultra-long-term bonds.” Citigroup expects the issuance size of 20-year and 30-year Japanese government bonds at each auction to decrease by 100 billion yen, and anticipates that the issuance pace of 40-year Japanese government bonds will slow next year. He mentioned that the market may continue to be influenced by U.S. dynamics, but as the GDP contraction from July to September is confirmed, the market’s pricing of a rate hike by the Bank of Japan in December should weaken. According to Tradeweb data, the yield on the 30-year Japanese government bond rose by 0.3 basis points to 3.136%.