Japan : JGBs slip, tracking retreat by U.S. Treasuries

TOKYO : Japanese government bond prices slipped on Wednesday, with the market tracking an overnight retreat by U.S. Treasuries. A bounce by Tokyo equities also dented the appeal of safe-haven debt and weighed on JGBs.

Mid-term JGBs also sagged on caution ahead of Thursday’s five-year debt auction, with the five-year yield rising 1.5 basis points to minus 0.160 percent.

The benchmark 10-year JGB yield rose 1.5 basis points to minus 0.085 percent. The 20-year yield also climbed 1.5 basis points, to 0.285 percent.

Treasuries slipped on Tuesday, with the two-year yield touching a near-three-week high as comments from two top Federal Reserve officials rekindled bets the U.S. central bank may raise interest rates by year-end.

Tokyo’s Nikkei rose 0.6 percent on bargain hunting following the previous day’s fall to a 1-week low.