Japanese government bonds continue to fall after the Central Bank of Japan raised interest rates.

【Japanese Government Bonds Continue to Decline After Bank of Japan Raises Interest Rates】Japanese government bonds continued their decline on Monday, after the Bank of Japan raised the benchmark interest rate to its highest level in 30 years. The yield on 10-year Japanese government bonds rose by 7.5 basis points to 2.095%, the highest level since February 1999. The yield on the two-year government bonds, sensitive to expectations of monetary policy, climbed 3 basis points to 1.12%, a new high since 1997. The latest sovereign debt faced renewed dumping due to the Bank of Japan's interest rate hike action on Friday. However, traders were disappointed that the Bank of Japan did not provide clear guidance on when it might tighten policy again. Meanwhile, after Japanese Finance Minister Shunichi Suzuki and Japan's top forex official Jun Miura warned about the recent weakness of the currency, the yen rose 0.3% against the dollar to 157.25. (Jin10)