BOJ: Q2 Non-Japanese JGB Holdings Rise To Y67 Tn Vs Q1 Y62 Tn

— BOJ: Q2 Non-Japanese JGB Holdings +28.3% Y/Y; Q1 +30.5%
— BOJ: End-June Fncl Firm JGB Holdings Y589 Trln Vs Y579 Trln
— BOJ: End-June Fncl Firm JGB Holding Share 65.4%; 66.1% End-Mar
— BOJ: End-June Japan Household Assets +1.2% Y/Y at Y1,491 Trln
— BOJ: End-June Household JGB Holdings -11.6% Y/Y at Y30 Trln

TOKYO (MNI) – The balance of Japanese government bonds held by
non-residents totaled Y67 trillion at the end of June, or 7.4% of the
Y901 trillion in JGBs outstanding, up from Y62 trillion, or 7.1%, at the
end of March, quarterly Bank of Japan data released Tuesday showed.

The data also showed that overseas investor holdings of JGBs rose
28.3% from a year earlier, with the pace of growth slowing from a
revised 30.5% rise at the end of March.

In the April-June quarter, non-residents bought a net Y5.8 trillion
of JGBs including short-term paper.

The outstanding balance of JGBs held by domestic financial
institutions at the end of June totaled a record high of Y589 trillion,
up 2.1% from a year earlier. The end-June level compared to Y579
trillion at the end of March, which was up 3.4% on the year.

The balance of JGBs held by domestic financial institutions at the
end of June accounted for 65.4% of the total JGBs, down from 66.1% at
the end of March and below a record high level of 67.4% marked at the
end of March 2010.

In April-June, Japanese financial institutions bought a net Y8.1
trillion of JGBs.

The value of financial assets held by Japanese households at the
end of June rose 1.2% on the year to Y1,490.9 trillion, up from Y1,480.6
at the end of March, according to the preliminary BOJ data.

The 1.2% increase at the end of June was the first y/y rise in five
quarters, following a 0.3% fall at the end of March.

The value of cash and deposits held by households at the end of
June rose 1.9% on year to a record high of Y828.5 trillion, marking the
18th consecutive quarter of y/y gains, after rising 1.4% in the March
quarter.

The value of foreign currency denominated bonds held by Japanese
households at the end of June totaled Y9.21 trillion, up 14.1% from a
year earlier, with the pace of growth accelerating from the 8.7% rise at
the end of March.

The balance of foreign currency denominated deposits held by
households in Japan at the end of June was at Y5.64 trillion, up 8.9%
from a year earlier. The pace of increase was also higher than a 5.9%
rise at the end of March.

The outstanding balance of JGBs held by households at the end of
June was down 11.6% from a year earlier at Y30.4 trillion, with the pace
of decline accelerating from a 9.5% fall at the end of March.

The balance of financial liabilities held by the Japanese
government was at Y1,076.4 trillion, up 4.1% from a year earlier.

tokyo@marketnews.com
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