15 Quotes by Makoto Yamashita

The Nikkei is weak and that will support bonds.

Support from a lack of new supply will be short-lived.

Investors may start worrying that the central bank will scale back its monthly bond purchases to reduce the amount of money in the system. That will push up yields further.

Investors cannot justify buying bonds and they want to avoid 10-year yields going lower than 1.3 percent. There is a five-year note auction next week and investors don't want to have a low coupon on it.

Investors who follow the index will continue to buy longer bonds.

The chances of 10-year yields soaring above 1.6 percent are high. Ten- year bonds look expensive compared with five-years and so it could take some time for dealers to sell all the bonds onto investors.