Latest news with #debtMarket
Yahoo
03-07-2025
- Business
- Yahoo
Japan's 30-Year Bond Sale Sees Strongest Demand Since February
(Bloomberg) -- Investors lapped up 30-year Japanese government bonds in an auction on Thursday that indicates policymakers are having some success in quelling debt-market volatility. NYC Commutes Resume After Midtown Bus Terminal Crash Chaos Struggling Downtowns Are Looking to Lure New Crowds What Gothenburg Got Out of Congestion Pricing Massachusetts to Follow NYC in Making Landlords Pay Broker Fees California Exempts Building Projects From Environmental Law The bid-to-cover ratio was at 3.58, the strongest demand since February. That compares with 2.92 at the auction in June and the 12-month average of 3.33. The tail, or gap between average and lowest-accepted prices, came in at 0.31, versus 0.49 at the previous sale. While upward pressure on long-term Japanese yields has abated since the Ministry of Finance announced a plan to cut bond sale amounts, the auction came hot on the heels of spike in 30-year yields in the UK and US. The MOF said in June it would reduce offerings of 20-, 30-, and 40-year debt from this month by a combined ¥3.2 trillion ($22 billion) through the end of March 2026. Meanwhile, the Bank of Japan said it would slow its pullback from debt purchases. Earlier this week, relatively strong demand at Japan's sale of 10-year sovereign notes bolstered expectations for the 30-year auction. Yet global trends and an election this month in Japan are likely to keep investors on guard over the ability of governments to cover massive budget deficits. The challenge for Japan to limit gains in 30-year yields is made harder because big local buyers such as life insurers have turned away from purchases of this maturity. The Liberal Democratic Party's Policy Chief and former Defense Minister Itsunori Onodera said in an interview with Bloomberg last week that the country's fiscal outlook was already facing a 'yellow alert.' Expenditures may climb as Japanese Prime Minister Shigeru Ishiba sets pay raises and a ¥1 quadrillion economy as the top campaign promises for this summer's upper house election. SNAP Cuts in Big Tax Bill Will Hit a Lot of Trump Voters Too America's Top Consumer-Sentiment Economist Is Worried How to Steal a House China's Homegrown Jewelry Superstar Pistachios Are Everywhere Right Now, Not Just in Dubai Chocolate ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
03-07-2025
- Business
- Bloomberg
Japan's 30-Year Bond Sale Sees Strongest Demand Since February
Investors lapped up 30-year Japanese government bonds in an auction on Thursday that indicates policymakers are having some success in quelling debt-market volatility. The bid-to-cover ratio was at 3.58, the strongest demand since February. That compares with 2.92 at the auction in June and the 12-month average of 3.33. The tail, or gap between average and lowest-accepted prices, came in at 0.31, versus 0.49 at the previous sale.
Bloomberg
11-06-2025
- Business
- Bloomberg
Japan's Longer Debt Attractive for Foreigners, Morgan Stanley Says
Foreign investors are looking with interest at longer-term Japanese bonds, while it remains uncertain when the government will adjust how much of the debt it sells, Morgan Stanley says. 'You still have a tremendous amount of supply hitting the long-end of the Japanese government bond market, which is presenting value for investors outside of Japan' from Canada to Europe to Asia, the firm's global head of macro strategy Matthew Hornbach said on Bloomberg Television.
Bloomberg
09-06-2025
- Business
- Bloomberg
Credit Investors Embrace Portfolio Trades as ETF Grip Loosens
Investors looking to move big blocks of corporate bonds have long relied on exchange-traded funds listed on stock exchanges to jump in and out of positions. But now, they're increasingly trading directly in the debt market. The shift underscores a major development over the last 10 years: electronic and high-speed trading — classic methods for moving equities — are spreading to the debt market and making it easier to execute portfolio trades, where a mass of different securities is bought or sold in one fell swoop.
Bloomberg
03-06-2025
- Business
- Bloomberg
A Guide to Japan's Closely Watched Government Bond Auctions
Japan's government bond auctions, once viewed as predictable and procedural, have been reborn as a barometer of stress in the nation's debt market — and a trigger for moves in yields from Europe to the US. The global importance of auctions in Tokyo has been on show since a sale of 20-year securities last month caught investors off guard when a key measure of demand fell to the lowest level in more than a decade.
