TOKYO, May 21 (Reuters) – Japanese government bond prices
sagged on Tuesday after an auction of 40-year bonds drew tepid
demand as investors grew suspicious that the Bank of Japan is
tolerating a rise in bond yields as it tries to boost inflation.

The 30-year bond yield hit a fresh three-month high while
the 10-year yield edged near a one-year peak hit last week as
market players gird themselves for the outcome of the BOJ’s
two-day policy meeting which ends on Wednesday.

TOKYO, May 17 (Reuters) – The U.S. dollar approached a
10-month high against a basket of currencies on Friday after a
regional Federal Reserve chief said the U.S. central bank could
begin easing up on stimulus this summer, sharpening the
high-yielding Aussie’s fall.

Currency markets took their cue from comments by John
Williams, the president of the Federal Reserve Bank of San
Francisco, who said the Fed could completely exit its easing by
the end of the year. Investors see Williams’ thinking as close
to that of the Fed’s top officials such as Chairman Ben Bernanke
and Vice Chair Janet Yellen.

TOKYO, May 17 (Reuters) – The U.S. dollar held firm near a
10-month high against a basket of currencies on Friday after a
regional Fed chief said the U.S. central bank could begin easing
up on stimulus this summer, sharpening the high-yielding
Aussie’s fall.

The remarks by John Williams, the president of the Federal
Reserve Bank of San Francisco, moved markets as investors see
his thinking similar to that of the Fed’s top officials such as
Chairman Ben Bernanke and Vice Chair Janet Yellen.

TOKYO, May 17 (Reuters) – The U.S. dollar held firm near a
10-month high against a basket of major currencies on Friday
after a regional Fed chief, long seen as a policy dove, said the
Fed could begin easing up on stimulus this summer and end it
late this year.

Remarks by John Williams, president of the Federal Reserve
Bank of San Francisco, moved markets as investors see his
thinking close to that of the Fed’s top officials such as
Chairman Ben Bernanke and Vice Chair Janet Yellen.

TOKYO, May 15 (Reuters) – Struggling to stem a rout in
government bond prices, the Bank of Japan said on Wednesday it
will pump a massive amount of cash into the Tokyo money market.

The offer to inject 2.8 trillion yen ($27 billion) in market
operations on Friday is more than three times the size usually
offered in a single day.

TOKYO, May 15 (Reuters) – Japanese government bond prices
fell for the fourth straight session on Wednesday, with the
10-year bond yield hitting a one-year high, as investors
reassess their long-held assumptions of low growth and low
inflation in Japan.

A huge spike in market volatility since the Bank of Japan
introduced massive easing last month has heightened worries
among banks’ risk managers, forcing them to advise traders to
cut their exposure to the market.

TOKYO, May 14 (Reuters) – The dollar slipped from a
five-week high against a basket of major currencies on Tuesday
as market players locked in profits ahead of a series of U.S.
economic data that could determine whether the Federal Reserve
is ready to roll back its stimulus program.

While factors cited as a possible trigger for profit-taking
were wide-ranging, from a sharp sell-off in Japanese government
bonds and real estate investment trusts (REITs) to a media
report on hedge funds’ buying the euro, traders agree that they
were just an excuse.

TOKYO, May 14 (Reuters) – The dollar slipped from a
five-week high against a basket of major currencies on Tuesday
as market players locked in profits ahead of a series of U.S.
economic data that could sway the U.S. Federal Reserve’s policy.

While factors cited as a possible trigger for profit-taking
were wide-ranging, from a sharp sell-off in Japanese real estate
investment trusts (REITs) and a media report on hedge funds’
buying in the euro, traders agree that they were just an excuse.

TOKYO, May 14 (Reuters) – The dollar held firm near
five-week high against a basket of major currencies on Tuesday
after U.S. retail sales data eased fears of a slowdown in the
world’s largest economy.

The yen held near 4 1/2-year low against the U.S. currency
as Group of Seven finance officials meeting over the weekend
held back from criticising Japan’s monetary policy.

TOKYO, May 13 (Reuters) – Japanese government bond prices
dived for two straight sessions on Monday as soaring Japanese
share prices prompted investors to question their long-standing
confidence in low-risk but low-yielding Japanese government
bonds.

The benchmark futures price posted its biggest two-day
decline in almost two and a half years to hit a one-year low,
with the Tokyo Stock Exchange briefly suspending trading as a
circuit breaker was triggered.