TOKYO, May 14 (Reuters) - Japanese government bonds erased losses on Thursday after a 30-year auction fared much better than many investors had feared after a tepid 10-year sale earlier in the week.
The Ministry of Finance offered 800 billion yen of 30-year JGBs, re-opening issue number 46 with a coupon of 1.5 percent. The lowest price at the sale was 99.45, better than most market participants expected.
The bid-to-cover ratio, a gauge of demand, came in at 2.74 compared with the previous sale's 2.86, while the tail between the average and accepted lowest prices widened to 0.26 from 0.19 at the last month's auction.
The yield on cash 10-year JGBs slipped 1 basis point to 0.455 percent, after earlier rising as high as 0.470 percent. That matched the high struck on Tuesday after the disappointing 10-year sale, and was its higest since March 10.
The 10-year JGB futures price added 0.17 point to finish at 146.80.
Reporting by Tokyo markets team; Editing by Shri Navaratnam