Japan 10-Year Bond Yield Reach 16-Year High After Ueda Comments

Akira Ito
26 Mar, 2025
Tokyo

Japan's investors shifted their attention to comments from the chief of the Bank of Japan, and bond yields traded at a 16-year high.

The Nikkei 225 Stock Average gained 0.6%, and the broader TOPIX advanced 0.5%, and the benchmark indexes extended gains for the second consecutive session. 

Bank of Japan Governor Kazuo Ueda told parliament that the central bank is prepared to continue interest rates if future economic data meet expectations. 

Ueda confirmed that economic metrics and growth so far have met expectations laid out by the central bank, and the cycle of rising wages supporting consumer spending is intact. 

Japan's 10-year government bond yield edged higher to a 16-year high of 1.59%, and then the yen traded at 150.35 against the U.S. dollar.

Last week, the central bank left its short-term rate at 0.5%, citing U.S. trade policy uncertainty and economic slowdown in China. 

On the economic front, producer price inflation eased in February, according to the latest data available from the Bank of Japan. 

The measure of inflation slowed to an annual pace of 3.0% from the upwardly revised annual rate of 3.2% in January, and prices were flat from the previous month.

Excluding international transportation, producer price inflation increased at an annual pace of 3.1% and rose 0.1% on a monthly basis.

 

Japan Indexes and Stocks 

The Nikkei 225 Stock Average increased 0.6%, and the broader TOPIX advanced 0.5% to 2,812.89. 

Exporters, technology stocks, industrials, and financial services providers led the most actively traded stocks list. 

Nintendo Co. Ltd. surged 5.5% to ¥11,330.0 after positive comments from Goldman raised expectations of a faster increase in user base. 

Technology stocks led gains in Tokyo following the advance in tech leaders in overnight trading in New York. 

Tokyo Electron gained 1.6% to ¥22,670.0, Advantest Corp. increased 0.6% to ¥7,781.0, Disco Corp. inched up 2.6% to ¥35,190.0, and Lasertec added 0.3% to ¥13,985.0.

Marubeni Corp. added 0.5% to ¥2,552.0, Sumitomo Corp. jumped 0.6% to ¥3,647.0, Itochu Corp. increased 0.8% to ¥7,178.0, and Mitsui & Co. Ltd. advanced 2.6% to ¥2,990.0.