In the bond market on the 28th, the sale of Japan government bonds intensified in response to the rise in U.S. long-term interest rates, and long-term interest rates rose to 0.75%, the highest level in 10 years. When government bonds are sold, the price of government bonds falls and interest rates rise.
In the United States, in addition to the widespread view that monetary tightening will be prolonged, U.S. government bonds were sold due to difficulties in parliamentary budget talks and concerns about the shutdown of some government agencies, and long-term interest rates temporarily exceeded 4.6%, rising to the highest level in about 15 years and 11 months.
In response to this trend, the selling of Japan government bonds intensified in the bond market on the 28th, and the yield on 10-year JGBs, which is a representative indicator of long-term interest rates, rose to 0.75%.
This is the highest level in 2013 years since September 9.
"Long-term interest rates in Japan have been on an upward trend due to the rise in U.S. long-term interest rates," market participants said, "and as the yen depreciates due to the widening of the interest rate differential between Japan and the U.S., there are moves to sell Japan government bonds based on the view that the Bank of Japan will revise its monetary easing measures in the future and bond prices will fall."