TOKYO, June 19 (Reuters) – Japanese government bonds were
mixed on Wednesday in a move characteristic of low liquidity as
many investors refrained from trading, looking to how the U.S.
Federal Reserve plans to scale back its stimulus programme.

The seven to 10-year zone edged up slightly, while shorter
maturities as well as super-long bonds were weaker, as traders
adjusted their positions ahead of the Fed’s policy announcement
at 1800 GMT Wednesday and Chairman Ben Bernanke’s news
conference.

TOKYO, June 18 (Reuters) – The U.S. dollar hovered above a
two-month low against the yen on Tuesday but struggled to extend
gains on worries the U.S. Federal Reserve could hint at
withdrawing stimulus and unsettle share markets.

The Australian dollar slipped after the minutes of the
Reserve Bank of Australia showed the bank thinks the currency
remains high despite its recent steep decline and sees scope for
further depreciation.

TOKYO (Reuters) – The U.S. dollar hovered above a two-month low against the yen on Tuesday but uncertainty ahead of the outcome of the U.S. Federal Reserve meeting is likely to cap further gains.

The dollar fetched 94.61 yen in early Asian trade, little changed from late U.S. levels after posting its first gains in five sessions on Monday. It wasn’t far off a two-month low of 93.75 set on Thursday.

TOKYO, June 18 (Reuters) – The U.S. dollar hovered above a
two-month low against the yen on Tuesday but uncertainty ahead
of the outcome of the U.S. Federal Reserve meeting is likely to
cap further gains.

The dollar fetched 94.61 yen in early Asian trade,
little changed from late U.S. levels after positing its first
gains in five sessions on Monday. It wasn’t far off a two-month
low of 93.75 set on Thursday.

TOKYO/SYDNEY, June 17 (Reuters) – The yen eased slightly on
Monday on resilience in Japanese stocks, but stayed not far from
a two-month high against the dollar and euro, as investors
looked to when and how the U.S. Federal Reserve will begin to
scale down its stimulus.

The key focus is on what Fed Chairman Ben Bernanke will say
following the U.S. central bank’s June 18-19 meeting as
expectations that the Fed will soon start weaning markets off
its stimulus roiled global equities markets.

TOKYO, June 12 (Reuters) – Japanese government bond prices
slipped on Wednesday, with the 10- and 20-year yields briefly
hitting two-week highs, after an auction of 300 billion yen
($3.1 billion ) long-term JGBs drew tepid demand.

But bargain-hunting from investors at those high yields
helped the market curb the losses, with falls in some emerging
markets adding to the risk-averse mood – to the benefit of JGBs.

TOKYO, June 11 (Reuters) – Japanese government bond prices
fell on Tuesday after the Bank of Japan held off on taking
additional measures, disappointing investors who were expecting
the central bank to extend the duration of cheap fixed-rate
funds as a way to reduce volatility.

Still, given that the market had steadied in the past few
weeks without the BOJ’s intervention, analysts said the market
probably did not need a helping hand from the BOJ and that any
knee-jerk reaction will be short-lived.

TOKYO, June 10 (Reuters) – Japanese government bond prices
edged up, underpinned by hopes that the Bank of Japan may take
steps to reduce volatility in the bond market at a two-day
policy meeting that began on Monday.

Also propping up the market was short-covering by investors
who had sold bonds on Friday following news that Japan’s public
pension fund would cut the bond weighting in its model
portfolio.

TOKYO, June 7 (Reuters) – The yen’s rebound to two-month
highs and a rapid decline in Japanese shares are likely to be
natural, if painful, corrections after one-way market bets, but
they lay bare the risks and limits of Japanese Prime Minister
Shinzo Abe’s economic policy.

The Nikkei average fell into bear market territory
on Friday from a 5-1/2-year high hit just over half a month ago,
while the yen gained more than 7 percent from 4-1/2-year lows
against the dollar to as high as 95.55 yen.

TOKYO, June 6 (Reuters) – Japanese government bond prices
gained on Thursday as bargain-hunting emerged after some anxiety
over how a 30-year bond auction would fare and as Tokyo stocks
buckled, dropping to a two-month low.

Some market players expect further gains in JGBs as
volatility appears to be easing after spiking in the past couple
of months, which could prompt investors to be less wary about
bond investments.