Japan 10-Year Yield Holds Near 17-Year High

Japan’s 10-year government bond yield held around 1.62% on Thursday, hovering near a 17-year peak hit earlier this week as investors awaited a series of key economic data. On Friday, markets will review reports on industrial production, retail sales and consumer confidence, while Tokyo’s inflation reading — a leading gauge of nationwide price trends — will be closely tracked for Bank of Japan policy signals. Over the weekend, BOJ Governor Kazuo Ueda said wages are expected to climb further amid a tightening labor market, bolstering expectations that conditions for another rate hike are gradually falling into place. At its July meeting, the BOJ left rates unchanged but raised inflation projections and struck a more upbeat view on the economy. On the trade front, Japan’s chief negotiator Ryosei Akazawa canceled a planned trip to Washington, where he had been scheduled to discuss details of Japanese investment in the US.