The focus of guessing changes in the Bank of Japan has shifted to the front end of the yield curve, and long -term bonds are more popular than short -term bonds.
Prior to the interviews between the President of the Bank of Japan and the man on September 9, the main focus of the bond market has always been the fate of the 10 -year national bond yield.Now, the possibility of negative interest rate policy may end.
The expansion of the two -year drop -to -date spread exceeds other periods, indicating that investors' betting on the two -year bond yields has risen, or the holders of these bonds have undergone hedge exchange.Different from 10 -year bonds, lack of two -year bond futures also means that funds are more concentrated to swaps.This indicates that the yield curve before the end of the year will tend to be gentle.
