The Finance Ministry has asked primary dealers for their views on further reducing issuance of longer-maturity government bonds, according to people familiar with the matter.
The ministry on Wednesday sent a questionnaire about potentially cutting back on enhanced liquidity auctions, said the people, who declined to be identified because the matter is not public.
The move comes amid concerns that yields on long-dated bonds have risen rapidly to levels some consider excessive, and follows a plan announced in June to trim the volume of 20-, 30- and 40-year bonds sold at regular auctions.
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