We Just Found Out Who Has Been Buying All These Record-Low-Yielding Bonds

When your nation's bonds are trading with a record low 28bps negative yield (10Y JGBs), everything else in the world (aside from Swiss 10Y) is a relative 'value'...

 

Which appears to have driven Japanese investors to panic-buy a record 2.549 Trillion Yen of foreign bonds - an all-time record (in Yen and USD)...

 

A week after near-record sales of JGBs...

 

So now we know who (among others) was responsible for sending global developed sovereign bond yields to their record lows at 40bps last week...

 

And if The BoJ cuts rates deeper into negative territory this week - what do you think Japanese investors will do?

Charts: Bloomberg