Analyst: The rise in Japanese government bond yields mainly reflects "normalization"

Odaily Planet Daily reports that Jost Van Lenders, senior investment strategist at Dutch wealth management firm Van Lanschot Kempen, stated in a report that the recent rise in Japanese government bond yields is mainly a normalization after years of deflation and low or even negative interest rates. “The largest fiscal plan of the new government could put further upward pressure on yields,” Lenders pointed out. The expansionary fiscal policy led by Japanese Prime Minister Fumio Kishida has raised concerns about debt sustainability, resulting in rising Japanese government bond yields and a weakening yen. Previously, Fumio Kishida achieved an overwhelming victory in the weekend House of Representatives election and pledged to implement responsible fiscal policies. (Jin10)