Japan's Bond Market Sell-Off Continues into the New Year

Odaily News The sell-off in Japanese government bonds continues, with the 10-year bond yield reaching its highest level since February 1999. The 20-year bond yield rose by approximately 10 basis points to 3.08%, the 30-year bond yield increased by 3 basis points to 3.485%, and the 40-year bond yield climbed 8 basis points to 3.69%. Financial website investinglive analyzed that, despite spillover pressure on the yen, some might argue that the movements in the bond market could be the biggest risk facing Japan's economy this year. The government and the Bank of Japan must closely monitor developments, as the situation has undoubtedly accelerated and worsened over the past three months. Considering the sell-off in Japanese bonds (yield surge), the yen also faces severe tests and pressure, indicating that traders and investors are more focused on fiscal and economic issues rather than the Bank of Japan's policies and the narrowing interest rate differential. (Jin10)