As yields reach their highest level in a decade, the Bank of Japan purchases $12.7 billion worth of bonds.
Please make use of the sharing options available through the share button located at the top or side of articles. Copying articles to distribute to others is against FT.com’s terms of service and copyright policy. In response to benchmark bond yields reaching their highest level in ten years and US Treasury yields continuing to climb to 16-year highs, Japan’s central bank made ad hoc purchases of government paper on Wednesday.
Bonds issued by the Japanese government with maturities between five and ten years were offered for sale by the Bank of Japan for 675 billion. Part of the BoJ’s offer
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Please make use of the sharing options available through the share button located at the top or side of articles. Copying articles to distribute to others is against FT.com’s terms of service and copyright policy. unexpectedly rose to 147.3 on Wednesday after dropping below 150 on Tuesday, sparking rumours that Japanese officials may have intervened. However, most currency analysts and dealers in Tokyo concurred that there had not been any direct currency intervention.
Please make use of the sharing options available through the share button located at the top or side of articles. Copying articles to distribute to others is against FT.com’s terms of service and copyright policy. Using the gift article service, subscribers may share up to 10 or 20 articles each month. Suzuki, the finance minister of Japan, told reporters he would not comment on whether Tokyo had interfered in the market for exchange rates. “We’re ready to take necessary action against excess volatility, without ruling out any options,” he declared.
On Wednesday morning, the yen lost more ground, falling to 149.29 before lunch.
Japanese government bond yields increased at the same time that US Treasury bonds continued to decline.
Please make use of the sharing options available through the share button located at the top or side of articles. Copying articles to distribute to others is against FT.com’s terms of service and copyright policy. Before cutting gains to be up 0.05 percentage points at 4.84 percent, the yield on the US 10-year note increased by as much as 0.06 percentage points to a high of 4.85 percent. The 30-year US Treasury yield increased 0.05 points to 4.97 percent.
Strong US economic figures have boosted wagers that the Federal Reserve would maintain.
