Japan's 10-Year Bond Yield Hits 30-Year High Amid Inflation Fears

The yield on Japan's benchmark 10-year government bonds has reached a 30-year high, rising to 3.055% as of September 24. This marks the highest level since August 1996.

The increase is attributed to intensifying inflation concerns and a weaker yen, which pushes up import costs and domestic prices. According to Katsutoshi Inadome, senior strategist at Sumitomo Mitsui Trust Asset Management, Japanese yields are under pressure due to the weakening currency.

The move in Japanese bonds has also seen the yield on 30-year government bonds increase by 5.5 basis points to 4.125%. However, futures on 10-year Japanese bonds were down 0.64 points, indicating a possible sell-off in the securities.