Japan: back to US Treas

[rffrydr]

Market News reported yesterday that Japanese life insurer Sumitomo was planning on increasing foreign bond holdings in the second half of the year should the yen rise as it expects. This could indicate another significant factor will be pressuring global yields through March. The company cut foreign bond holdings by ¥450bn in the first half of its fiscal year, and is apparently planning on revisiting this decision.

Of course this presumes yen appreciation. Right now, no small presumption.