"Buyer vacuum" risk appears as Japanese bond yields hit new highs

Since the "thunder" in May, Japanese government bonds have been like opening a "Pandora's Box": the long-term yield of Japanese government bonds briefly fell before continuing to rise, and recently reached a new high. Analysts believe that the resonance of Japanese fiscal deficit risk and policy uncertainty has caused Japanese bond investors to "hesitate", and the contradiction of supply and demand imbalance caused by the Bank of Japan's plan to reduce bond purchases is still present. Japanese government bonds will continue to be under pressure in the short term. As the risk alert in the Japanese bond market has not been lifted, the Bank of Japan will maintain a cautious pace in adjusting its monetary policy path.