Australian Bonds Draw Largest Japanese Inflows in Two Years

Australian bonds attracted the largest inflow from Japanese investors in more than two years as lower currency hedging costs boosted the attractiveness of the Antipodean bonds.

Japanese funds bought ¥213.6 billion ($1.5 billion) of Australian sovereign bonds, the most since April 2023 and the first net purchase this year, Japan’s latest balance-of-payments data showed on Tuesday. Sovereign debt refers to securities issued by governments, government agencies and local governments.