Resona Holdings CEO: Japan's bond market is expected to withstand volatility tests.

The CEO of Resona Holdings Inc. stated that the volatility in the Japanese government bond market is unlikely to spread to the 10-year bond category. "I haven't seen any turbulence in the 10-year area," said Masahiro Kihara, CEO of the third largest bank in Japan, during an interview in London. "As long as the 10-year bond is stable, I think everything is fine." Kihara noted that the government plans to reduce long-term bond issuance and increase issuance of 10-year or shorter-term bonds, which is beneficial for the market. He added that the Bank of Japan's plan to slow down quantitative tightening will also have a positive effect.