TOKYO, Sept 26 (Reuters) - Longer-dated Japanese government bond prices dipped on Wednesday, weighed by weaker U.S. Treasuries and caution over the central bank’s debt-buying operations.
The 30-year yield rose 1 basis point to 0.915 percent.
The 40-year yield edged 1 basis point higher to 1.075 percent, its highest since October 2017.
Super-long JGB yields have risen recently after the Bank of Japan trimmed the amount of longer-date bonds it offered to buy at a regular debt-purchasing operation on Friday.
Wariness towards the BOJ reducing the number of its super-long JGB purchases again at Thursday’s debt-purchasing operation weighed on the super-long sector.
The 400 billion yen ($3.54 billion) 40-year JGB auction on Wednesday still managed to draw sufficient investor demand, with the recent gain in the maturity’s yield seen to have attracted buyers.
The bid-to-cover ratio at the 40-year auction was at 3.24 and roughly in line with 3.38, the average from the past six offerings.
The finance ministry auctions 40-year JGBs every other month.
Treasuries fell in price and their 10-year yield climbed to a four-month peak on Tuesday on bets about Federal Reserve interest rate increases in the coming months and poor demand so far for this week’s supply of government debt.
$1 = 112.9100 yen Reporting by the Tokyo markets team, Editing by Sherry Jacob-Phillips