Yield Imbalance Triggers Market, Japan to Cut Long-Term Bond Issuance
Japan plans to cut long-term bond issuance this year after record yields in recent months have raised concerns in the market.
The Japanese Ministry of Finance plans to double the cut in 20-year bond issuance from 2.3 trillion yen. In addition, the ministry proposed reductions for 20, 30, and 40 years amounting to US$22 billion by the end of March 2026.
Furthermore, the revised issuance plan is being closely monitored by traders after the recent surge in yields in Japan has impacted global markets.