# Japan's 10-Year Yields Now Above Treasuries After Hedging Costs - Bloomberg

> Dollar hedging costs have risen so much that the hedged yield on 10-year US Treasuries has fallen below that of Japanese government bonds for the first time in a sustained way in a decade. Japanese investors now receive a hedged yield of 0.05% on Treasuries versus 0.13% on JGBs. The recent jump in US Treasury yields has not made them more attractive to Japanese investors.

- Date: 2018-11-06 · published 2018-11-06T12:00:00.000Z
- Category: macro · region Japan · magnitude low
- Page: https://feedsoft.ai/events/62290-japan-s-10-year-yields-now-above-treasuries-after-hedging-costs-bloomberg
- Commodities: [Japanese Yen (JPY per USD)](https://feedsoft.ai/c/USDJPY.md)

## Why it matters

Shifts in Japanese capital flows between US and Japanese bonds affect the yen and dollar, which feed through to dollar-priced commodity markets. The effect on feed prices is indirect and small.

## Sources

- bloomberg.com: https://www.bloomberg.com/news/articles/2018-11-06/japan-s-10-year-yields-now-above-treasuries-after-hedging-costs

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.