Japan Economic And Financial Weekly

Weekly UpdateEquitiesFXRates Govt BondsEnergy

The JGB market remains rangebound amid uncertainty over potential shifts in GPIF investment policy. Government efforts to influence yields through rhetoric face structural skepticism.

Key Takeaways

  • 1.The JGB market is expected to be rangebound as uncertainty persists regarding government policy and GPIF investment shifts.
  • 2.Finance Minister Katayama's comments on encouraging GPIF to invest in Japanese assets caused short-term volatility in JGB yields, but the practical ability to alter the GPIF policy mix remains highly uncertain.

Table of Contents

  • JGB market scenario for July 13-17
  • Key events for the week of July 13
  • Economic indicators for the week of July 14
  • Japan Economic Outlook
  • Market Forecast
  • Appendix A

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Authors

Naomi MugurumaKeisuke TsurutaKatsuhiro OshimaTakahiro OtsukaTakuya OnizawaShuji Tonouchi

Securities

10-year Japanese Government Bond

Themes

BoJ Monetary Policy IndependenceGPIF Asset Allocation

Regions

Asia PacificNorth AmericaJapanUnited States