Japan's 10-year government bond yield reversed course to fall on Friday as investors bought the debt to rebalance their portfolios at the end of the April-June quarter following sharp gains in Japanese equities.
Here are a few details:
The benchmark 10-year JGB yield fell 3 basis points (bps) to 2.595%, after rising to as high as 2.635% earlier in the session. Yields move inversely to bond prices.
"There were no particular market-moving cues to send the yield lower, so this could be driven by the need for portfolio rebalancing," said Masahito Sugawara, senior strategist at Daiwa Securities.
Japan's Nikkei has jumped 35% so far in the quarter ending this month, the steepest quarterly gain on record, according to LSEG.
Data showed annual core inflation in Japan's capital accelerated in June, a sign of broadening price pressures from the Middle East conflict, keeping the central bank on track to consider further raising interest rates.
The two-year yield inched down 0.5 bp to 1.405%. The five-year yield fell 1. bp to 1.865%.
The 20-year JGB yield fell 2.5 bps to 3.51%. The 30-year yield fell 2 bps to 3.805%. The yield on the 40-year JGB fell 4.5 bps to 3.67%.
