Japan Finance Minister Signals Domestic Asset Focus; 10-Year Yields Fall 9bp, Yen Rises 0.5% on July 10

According to economist Mohamed El-Erian on X today (July 10), Japan's Finance Minister stated that encouraging domestic financial asset investment—including households and the Government Pension Investment Fund (GPIF)—is a priority.

Following the statement, 10-year Japanese government bond yields fell 9 basis points and the yen strengthened 0.5% during Tokyo trading hours. El-Erian noted that if Japan's large investment portfolios shift from overseas assets to domestic holdings, global markets will closely watch which foreign assets face the largest selloffs.