Japan to Sound Out Market Players on Tweaks to Bond Issuance

Japan’s Finance Ministry will seek feedback from market players later Friday over its planned reductions to super-long bond issuance as it takes steps to quell market turbulence.

The ministry will hold a meeting with primary dealers at 4 p.m. in Tokyo to discuss recent market developments and its issuance plans. A draft of its revised bond plan seen by Bloomberg showed that authorities will propose cutting issuance of 20-, 30- and 40-year bonds by ¥100 billion ($690 million) each per auction through March 2026. To offset the reduction in sales of longer maturities, the ministry is looking to increase issuance of 2-year and shorter-dated debt, the plan showed.