Bonds are likely to rebound following the auction. It looks like there will be plenty of demand from investors. A respite from auctions for the near future should help supply and demand conditions recover. |
Bonds will probably start higher. |
I expect bonds to stay weak today. |
Political pressure on the Bank of Japan will linger. |
Yields are unlikely to keep going up in a straight line. Investors may buy should yields rise to 1.50 percent. |