Overseas Investors Dump Super-Long JGBs for First Time Since 2024 as BOJ Confidence Wanes
Updated
Updated · Bloomberg · Jun 15
Overseas Investors Dump Super-Long JGBs for First Time Since 2024 as BOJ Confidence Wanes
1 articles · Updated · Bloomberg · Jun 15
Summary
April data showed overseas investors sold more super-long Japanese government bonds than they bought, the first net selling in that segment since 2024.
Waning confidence in Bank of Japan policy is driving the retreat, undercutting the appeal of yields that had only recently become high enough to draw global bond managers back.
T. Rowe Price, Schroders and Brandywine Global have recently cut long-dated JGB exposure or limited positions to tactical trades.
The shift marks a reversal little more than a year after Japan's higher yields helped revive foreign interest in its debt market.