UPDATE: You know it's getting bad when Abe and Kuroda double-team the confidence-inspiring headlines.
- *KURODA: BOJ'S BOND PURCHASES HAVEN'T FACED PROBLEMS
- *KURODA: DON'T THINK JGB LIQUIDITY HAS PARTICULARLY FALLEN
- *KURODA: BOJ EASING ISN'T FOR FINANCING GOVERNMENT DEBT
- *ABE: MONETARY EASING METHODS ARE UP TO BANK OF JAPAN
Japanese government bond yields continue to surge. The last 7 days have seen yields on long-dated JGBs soar at the fastest pace since 2003 - accelerating after the most recent (weakest bid-to-cover in 19 months) bond auction. Following the 18th month in a row of negative YoY real cash earnings (1 short of the record 19 months in a row from 2008/9), Japanese bond yields are surging to their highest since early December.
18th month in a row of negative YoY real cash earnings...
Sparked an acceleration in the JGB yield surge... post QECB
The biggest 7-day surge since 2003... (click image for huge legible version)
Is The BoJ losing control?