Japan two-year JGB sale draws four times cover

Japan's Ministry of Finance sold its two-year bonds on October 29 at an average yield of 1.905 percent, with competitive bids of 8,539.2 billion yen covering the 2,118.4 billion yen accepted competitively about 4.0 times.

Why it matters: Firm demand at the short end, a day after the Federal Reserve decision, suggests investors are comfortable holding Japanese paper at yields near 1.9 percent while the Bank of Japan's next move remains the open question in the JGB market.

Data as of Ministry of Finance auction result for the 2-year JGB issue 490, released October 29, 2026 and read in full in this run. All figures are the ministry's own; the roughly 4.0 times cover is computed from its competitive bids and competitive acceptances. Bloomberg's headline in the feed pool characterised demand as stronger than the 12-month average; its article was not read in this run. Single primary source, the ministry itself, hence grade B. Developing item.

Japan’s two-year bond sale met firm demand on Thursday. The Ministry of Finance reported competitive bids of 8,539.2 billion yen for the 1.9 percent issue maturing November 1, 2028, against 2,118.4 billion yen accepted competitively, a cover of about 4.0 times, with a further 680.1 billion yen allotted through the non-price-competitive auction for market special participants.

The bonds cleared at a lowest accepted price of 99.975, a yield of 1.912 percent, and an average price of 99.989, a yield of 1.905 percent. The issue settles on November 2, 2026.

Japan two-year JGB sale draws four times cover

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