Japan Government Bonds Fall as Report Signals Central Bank to Raise Rates

(Bloomberg) -- Japan's government bonds declined on speculation the central bank will raise interest rates by the end of this year as the global economy is forecast to withstand a U.S. economic slowdown.

The Bank of Japan will maintain its stance to gradually increase borrowing costs, the Nikkei newspaper said today, before the release of the bank's semiannual report for inflation and economy on April 27. The International Monetary Fund yesterday said the world economy will grow 4.9 percent this year and the next, absorbing a worse-than-forecast slowdown in the U.S.


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