Wednesday, May 9, 2007

Japan's Government Bonds May Decline on Concern Interest Rates to Increase

(Bloomberg) -- Japan's government notes fell for a fifth day, the longest decline since December, on speculation the central bank will increase interest rates as the Federal Reserve keeps borrowing costs at a six-year high.

Japanese debt tracked a drop in Treasuries after the U.S. Federal Reserve said inflation remains its predominant concern and kept interest rates unchanged for a seventh meeting. Bank of Japan Governor Toshihiko Fukui said in parliament today that the bank will ``gradually adjust interest rates.''


Read more at Bloomberg Bonds News

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