The market expects an increase in bond supply🌎
The much-anticipated November refinancing announcement will also be released on Wednesday, and the market expects bond auction supply to increase significantly in the fourth quarter, and even the bond supply in the first half of 2024 may be higher than market expectations. Separately, this week's Bank of Japan meeting could have far-reaching consequences for Japanese investors, depending on the extent of YCC policy adjustments, and higher domestic yield benchmarks could spur asset repatriation and limit U.S. Treasury investment in 2024.
