Hidenori Suezawa Bonds Quotations

Bonds will probably stay lower as traders may prepare for the auction. Bonds also will be capped by gains in stocks, along with rising U.S. Treasuries yields.

Bonds may find it difficult to rise as stocks are looking strong toward the year-end. Japan may have stable growth next year, leading to higher yields.

The pension fund will probably invest most of its allocation in domestic debt because Japanese stocks have had a good rally over the past year and the value of bonds is low. Some money may be used to buy overseas bonds.