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U.S. Treasury Secretary Steven Mnuchin seen at a working session during the G7 finance ministers and central bank governors meeting in Chantilly, near Paris, France, July 17, 2019.POOL New/Reuters

Treasury Secretary Steven Mnuchin said on Wednesday the possibility of issuing ultralong U.S. bonds is “under very serious consideration” by the Trump administration, Bloomberg News reported.

“If the conditions are right, then I would anticipate we’ll take advantage of long-term borrowing and execute on that,” Mnuchin told Bloomberg in an interview.

Mnuchin said his renewed interest in 50- or 100-year bonds was unrelated to the drop in yields on shorter-term U.S. debt, Bloomberg reported.

Currently, the 30-year bond is the longest-dated U.S. Treasury bond.

Earlier this month, the Treasury Department asked for feedback from market participants about the possibility of selling ultralong bonds. The department posed a similar inquiry in 2017.

U.S. Treasury debt yields fell on Wednesday, with 30-year yields setting all-time lows, as fears about a recession and U.S.-China trade tensions stoked unrelenting demand for low-risk government debt.

Inversion is spreading across the U.S. yield curve, where short-dated yields are running above long-dated ones, which has also unsettled investors as yield curve inversion often precedes a recession.

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