JGBs edge lower ahead of U.S. jobs data

TOKYO, Sept 4 (Reuters) – Japanese government bond prices inched down on Friday as investors stayed on the sidelines ahead of U.S. jobs data which will give an indication of how the economic recovery is faring.

Benchmark 10-year JGB futures fell 0.04 point to 151.84, with a trading volume of 19,430 lots, having slightly firmed earlier in the session after a sharp fall on Wall Street boosted the safe-haven appeal of debt.

Meanwhile, the 10-year JGB yield was flat at 0.030%.

At the shorter end of the curve, the five-year yield was unchanged at minus 0.090, while the two-year JGB yield bucked the broad trend and fell half a basis point to minus 0.130%.

In the super-long zone, the 20-year JGB yield , the 30-year JGB yield and the 40-year JGB yield all rose half a basis point each, to 0.420%, 0.605% and 0.630%, respectively.

U.S. jobs data due later in the day is expected to show nonfarm payrolls likely rose by 1.4 million in August, a slower employment growth than the 1.763 million in the previous month.

The BOJ maintained the size of its bond purchase in its operation on Friday, buying 420 billion yen of 5-10 year JGBs. (Reporting by Tokyo Markets Team; Editing by Shailesh Kuber)

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