Forex Blog

April 13, 2010

Japanese Bonds Rise, Halt 2-Day Drop, as Producer Prices Fall

Japan’s bonds rose, snapping a two-day loss, after a Bank of Japan report showed producer prices dropped for a 15th-consecutive month, reinforcing the case for the bank to keep interest rates near zero.

Ten-year yields fell from near the highest level since November after the BOJ said producer prices dropped 1.3 percent last month, more than the 1.1 percent decline estimated by economists in a Bloomberg survey. The Ministry of Finance auctioned 600 billion yen ($6.4 billion) in 30-year bonds today.

Bloomberg

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