JGB yield rises despite 30-year-high coupon

What happened: The benchmark Japanese government bond yield rose on Tuesday even as the coupon rate on new 10-year JGBs topped 3% for the first time in three decades. Key numbers: New 10-year JGB coupon rate above 3%, a first in three decades. Why it matters: The auction went smoothly, but investors remain uneasy over inflation from the protracted Middle East conflict and Japan's fiscal trajectory, with government debt concerns driving rates higher worldwide.

The benchmark Japanese government bond yield rose on Tuesday even as the coupon rate on new 10-year JGBs topped 3% for the first time in three decades.

The auction went smoothly, but investors remain uneasy over inflation from the protracted Middle East conflict and Japan's fiscal trajectory, with government debt concerns driving rates higher worldwide.