JGBs steady to lower on stimulus, vaccine hopes

  • 12/2/2020
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TOKYO, Dec 2 (Reuters) - Japanese government bond prices were steady to slightly lower on Wednesday as hopes of additional U.S. stimulus and economic recovery aided by coronavirus vaccines dented the safe-haven allure of government bonds. Benchmark 10-year JGB futures fell 0.11 point to 151.99, its lowest close in three weeks. The 10-year JGB yield rose 0.5 basis point to 0.020%, while the five-year yield rose 0.5 basis point to minus 0.105%. Lawmakers in the United States on Tuesday put forth a flurry of proposals on coronavirus relief packages after a month-long partisan standoff. Moderna Inc and Pfizer-BioNTech, are in a tight race to launch their COVID-19 vaccines in Europe after both applied for emergency European Union approval. However, bargain-hunting helped cut early losses in longer maturities. The 20-year JGB yield was flat at 0.390%, while the 30-year yield stood flat at 0.650%, slipping from 0.655% touched earlier, which matches a 22-month high hit last month. The 40-year JGB yield was flat at 0.695%. (Reporting by Tokyo Markets Team; Editing by Ramakrishnan M.)

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