Sunday, 01 July 2007

JGB futures hit 3-wk high as tankan meets forecast

(Reuters) - "The headline figures are as expected, but there are a few
worrying points, such as current as well as future weakness in
smaller firms, and a drop in the sentiment index for the raw
materials sector," said Mari Iwashita, a fixed-income strategist
at Daiwa Securities SMBC.




The quarterly tankan survey also showed companies were still
refraining from raising prices despite rising costs, while a flat
business outlook for big companies suggested their activities are
on a plateau now, Iwashita said.
"The survey does not, however, affect the general scenario of
the economy or expectations for a Bank of Japan rate hike," she
said.


Read more at Reuters.com Bonds News

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