Japan's ultra-long-term government bonds rebounded amid fluctuations before the election.

Jin10 data July 16 news, on Wednesday, Japan’s ultra-long-term government bond prices rose, reversing the earlier sell-off this week due to concerns that the Senate election this weekend could lead to higher government spending. The yield on 30-year government bonds fell by 10 basis points to 3.06%; the 40-year yield also decreased by 10 basis points to 3.38%. Previously, the 30-year yield had surged to its highest level since 1999 on Tuesday. Katsutoshi Inadome, a senior strategist at Sumitomo Mitsui Trust Asset Management, stated that investors were likely buying in response to the severe sell-off that occurred yesterday. Although the market remains cautious about fiscal stimulus policies after the Senate election, the rapid rise in yields has temporarily halted, and the market is currently awaiting the election results. Michael Brown, a senior research strategist at Pepperstone, said: “With the election approaching, political tensions persist, but the market seems to have released most of the selling sentiment for now. The market may remain cautious until the election results are announced.”