JGBs trade mixed ahead of February retail sales, consumer inflation

The Japanese government bonds traded mixed Tuesday as investors remain keen to watch the country’s February retail sales as well as consumer price inflation data, scheduled to be released on March 29 and 31 respectively.

The benchmark 10-year bond yield, which moves inversely to its price, rose 1 basis point to 0.06 percent, while the long-term 30-year bond yields fell nearly 1 basis point to 0.83 percent and the yield on the short-term 2-year note traded flat at -0.25 percent by 06:00 GMT.

Further, trading volumes were low as investors remained reluctant to stake out positions ahead of the looming March 31 domestic fiscal year-end. However, JGB futures did manage to eke out modest gains following the slump in Tokyo stocks as risk sentiment was hurt by Trump's setback.

Lastly, markets will now be focusing on the February consumer price inflation data, scheduled to be released on March 31 for detailed direction in the debt market.

Meanwhile, Japan’s Nikkei 225 closed 1.14 percent higher at 19,202.87, while at 06:00GMT, the FxWirePro's Hourly Yen Strength Index remained neutral at -28.33 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex