Swaps - JPY
10-year JGB yield fell to below zero again, following satisfactory 20y sale. 10-year swaps turned better offered after earlier bid.
The 5- to 10-year area of the JPY swap curve saw receiving despite good domestic data.
5-year JPY swaps saw downward price action after good demand at the JGB auction today. 5s/10s swaps are steeper as a result.
The JPY swap curve is steeper today, ahead of the signing of the China-US trade deal. Paying in 7-year emerged after lunch break.
JGB future ticked lower amid a more positive sign from the situation between China and the US. 30-year saw slightly better paying interest.
Latest development in the situation between the US and Iran saw better paying in JPY swaps. 10s/30s swaps are steeper.
JGB future jumped soon after the missile strike by Iran. The momentum lost steam after lunch break. Swaps have been offered and 30y spread inverted.
JPY swaps have been bid due to an improvement in market sentiment since overnight trading. The curve is steeper as a result.
The Japanese financial market re-opened today, and JPY swaps have been offered on political tensions between the US and the Middle East.
There has been flow in short JPY swaps and long spreads are pushing to the top of the recent range. GPIF is focusing more on Green and Social Bonds.