An auction of three-month treasury discount bills held by the Finance Ministry on Thursday drew the average yield of minus 0.0037 percent among successful bids, the first negative yield in the primary market for Japanese government securities.
The negative yield reflects supply shortages in the secondary market as the Bank of Japan is purchasing large amounts of government securities under its quantitative and qualitative monetary easing policy introduced in April last year.
On the back of the BOJ monetary easing campaign, short-term government securities have already seen negative yields in the secondary market.Speech
via Japan News
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