Japanese yields recover

© Scanpix/Reuters

Japan's bonds gained as their yields fell from a 4-month record high as uncertainty across Europe boosted demand for sheltering assets. Japanese benchmark 10-year notes dropped 3 basis points reaching 1.045% while 20-year borrowing costs declined 2.5 basis points attaining 1.775%. Takeshi Minami, Norinchukin Research Institute's chief economist expects a further increase in demand for Japan's notes.