Japan’s auction of two-year government bonds on Thursday will be in focus as investors see an increasing chance of a near-term interest rate hike by the central bank.
Demand for securities in the sale is expected to be firm, with two-year yields around 0.87% and just a few basis points below the highest since 2008. The five-year yield is around 1.16%, also near levels last seen 17 years ago.
AloJapan.com