Capital Markets

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Foreigners drawn to Japanese government bonds

TOKYO -- Money from abroad is coming to Japan, lured by government bonds offering attractive returns compared to those in Europe. Foreigners became a force to be reckoned with last year in the market for Japanese government bond futures. Their tr...

  • William Barkshire

    Will a Hong Kong-China 'bond connect' be next?

    The challenges to opening up the Chinese bond market are high, writes William Barkshire

  • Off-the-record admonition

    BOJ's Kuroda warns Abe about bond rules

    TOKYO -- Bank of Japan Gov. Haruhiko Kuroda earlier this year urged Prime Minister Shinzo Abe to make serious efforts to improve the nation's finances, sources said Tuesday. Kuroda made the remarks Feb. 12 during a meeting of the Council on Econo...

  • Cutting costs

    Japan's pension giant plans more in-house asset management

    TOKYO -- As part of sweeping reforms aimed at cutting costs and boosting returns, Japan's Government Pension Investment Fund will start managing more of its portfolio in-house, relying less on outside asset management companies. Yields on bonds r...

  • Troubled bonds

    Cloud Live marks China's second corporate default

    SHANGHAI -- Cloud Live Technology Group will default on a bond payment, becoming the second Chinese company to do so. The restaurant and information technology company told the Shenzhen Stock Exchange on Monday night that it would miss the Tuesda...

  • Jeffrey Mak

    China stepping up capital market reforms

    China is getting serious about opening up its capital markets, and international investors stand to gain, writes Jeffrey Mak.

  • U.S. Treasuries rally, futures drop after jobs data

    NEW YORK (Reuters) - U.S. Treasuries prices rallied, the dollar fell and equity futures stumbled on Friday after weaker-than-expected March U.S. jobs data. Labor Department data showed U.S. employers added just 126,000 jobs in March, the fewest i...

  • Goodbye, carry trades

    Yen's value no longer inversely correlates to Nikkei movements

    TOKYO -- The link between the yen and Japanese stocks has decisively weakened, as demonstrated by the currency's dull reaction to the Nikkei Stock Average's 371-point drop in intraday trading on Friday. The long-held inverse correlation between t...

  • Seeking higher returns

    Japan institutional investors turning to foreign securities

    TOKYO -- Japanese institutional investors have been buying more foreign securities, disappointed by meager returns on domestic assets amid ultralow long-term interest rates. Data from the Bank of Japan show pension funds, investment trusts and in...

  • Government bonds

    Investors shift money from Europe to Japan

    TOKYO -- Yields on Japanese government bonds have remained low of late, and not just because the Bank of Japan is making massive JGB purchases. Investors are beginning to shift their money from euro bonds to JGBs, as long-term interest rates fall int...

  • JGBs gain sharply after dovish Fed meeting

    TOKYO (Dow Jones) --The Japanese government bond market broadly gained Thursday following dovish results of the U.S. Federal Reserve meeting, sending the benchmark 10-year bond yield tumbling to its lowest level more than a month and a half. As ...

  • Indonesia deficit

    Government issuing 100 billion yen of samurai bonds

    JAKARTA -- The Indonesian government plans to raise funds by issuing samurai bonds for up to 100 billion yen ($816 million) this month to help with its 2015 budget deficit of 222.51 trillion rupiah ($17.1 billion), about 1.9% of gross domestic produc...

  • Clouding conditions

    Market players call for vaguer BOJ inflation deadline

    TOKYO -- A majority of bond market players think that the Bank of Japan should make the deadline for its inflation target less clear and later, according to a QUICK survey released Monday. The Feb. 24-26 poll covered 147 bond managers at brokerag...

  • Second cut in three months

    China trims interest rates again

    BANGKOK -- China's central bank on Saturday evening announced another round of interest rate cuts. The People's Bank of China set the one-year lending rate at 5.35% and the deposit rate at 2.5%. Both cuts of 0.25 basis points take effect Sunday. ...

  • Market settling down?

    Long-term rates touch 2-week low in Japan

    TOKYO -- The yield on newly issued 10-year Japanese government bonds hit the lowest level in about two weeks on Tuesday after a tender for 40-year bonds went smoothly. As a result, more market players say that the uptrend in long-term interest ra...

  • Japan's debt market

    Foreigner retreat in January pushed up long rates

    TOKYO -- A big loss of appetite for Japanese government bonds among foreign investors was behind the surge in long-term interest rates that began in late January. Long-term rates started rising after the BOJ defied market hopes for additional mo...

  • Japan's corporate debt market

    Foreign currency bond issues hit 23-year high last year

    TOKYO -- Japanese companies' overseas issues of foreign currency-denominated bonds reached a 23-year high in 2014, a trend that will likely continue this year amid increased cross-border mergers and acquisitions, low interest rates worldwide and the ...

  • Fundraising for cheap

    Kintetsu to offer 7-year bonds amid low rates

    TOKYO -- Railway operator Kintetsu will issue 10 billion yen ($83.7 million) in seven-year straight bonds by the end of the month to take advantage of the low long-term interest rates in Japan. The company will use part of the funds for repaying ...

  • Nicholas Spiro

    Emerging Asia's local bond markets warrant caution

    Investor sentiment towards the local government debt markets of developing economies has been fairly bleak since the U.S. Federal Reserve stunned markets in May 2013 by announcing its intention to wind down its asset purchase program. Last year w...

  • Record JGB holdings

    Foreign investors get into Japanese debt as yields decline elsewhere

    TOKYO -- Overseas investors' holdings of Japanese government bonds set a new record high for the first time in seven years, topping 46 trillion yen ($383 billion) at the end of 2014. Foreign investors as a whole have become the second-largest hol...