People familiar with the matter: Bank of Japan may slightly reduce ultra-long-term Japanese government bond purchases

Huobi HTX reported that three people familiar with the matter revealed that despite the recent rise in ultra-long-term Japanese Treasury bond yields, the Bank of Japan may still slightly reduce the purchase of such bonds in the fourth quarter. Such measures will meet market expectations and are consistent with the Bank of Japan's guidance - giving priority to reducing the scale of bond purchases for maturity products with a higher proportion of their holdings to the total issuance. They said the Bank of Japan will make a final decision on September 30, which could be affected by the results of the 20-year Treasury bond auction on September 17 and the volatility of the ultra-long-term Japan Treasury bond yields. If the Bank of Japan does reduce the purchase of ultra-long-term Treasury bonds by then, this will be the second adjustment since the reduction in the second quarter. (Jin Shi)