Bond Losses Extend to Asia, Chinese Stocks Gain – Asia Market Wrap

Asian bonds sank, mirroring selling pressure in Treasuries in the previous session. Chinese stocks rose on positive trade data and new hints of property support.

Australia, New Zealand, and Japan’s 10-year benchmark rates all rose, while those on US government debt rose further after a $42 billion offer of 10-year notes met with lukewarm demand.

Japanese rates rose after the central bank released a hawkish statement of its April meeting. Members of the Bank of Japan reviewed the possibility of reducing bond purchases, as well as the route for future rate rises.

The yen remained stable after hitting a weekly low earlier. Masato Kanda, Japan’s top currency official, stated that the country would be prepared to take appropriate measures if necessary, but declined to affirm official backing in recent weeks. Following a third session of advances, the dollar index held steady.