According to Japan’s finance data ministry, foreigners withdrew a net ¥334.4 billion (US$2.3 billion) from long-term Japanese bonds in a fourth successive weekly net sale.

Short-term bills also witnessed a net ¥2.41 trillion of outflows, the highest for a week since Dec 21, 2024.

Long-dated bonds have come under pressure globally in recent weeks, with Japan seeing sharp sell-offs as the central bank scales back bond purchases and a political debate over stimulus intensifies.

Yields on 30- and 40-year Japanese government bonds have surged to record highs, as demand at auctions for ultra-long debt weakens, prompting officials to weigh shifting issuance toward shorter maturities.

Meanwhile, Japanese stocks remained popular for an eighth successive week as foreigners added a net ¥309.3 billion worth of domestic shares to their portfolios.

In parallel, Japanese investors bought a modest ¥92 billion of foreign long-term bonds, a sharp reduction in net purchases from 2.83 trillion of net accumulation in the prior week.

They, however, sold about ¥42.7 billion of short-term bills.

In overseas equities markets, domestic investors were net sellers for a second straight week to the tune of ¥524.7 billion.