Treasury yields rebound, wiping out the decline following Bessent’s intervention
Treasury Secretary Scott Bessent said the buyback program could exceed $4 billion as investors refocused on heavy debt supply and inflation worries.
- On Thursday, U.S. Treasury yields rebounded, reversing Wednesday's decline after Treasury Secretary Scott Bessent doubled bond buybacks to at least $4 billion per operation, with the 30-year yield climbing to about 5.24%.
- Mounting concerns over the $40 trillion national debt and high budget deficits fueled market skepticism that undermined the Treasury's intervention before it could take hold.
- Critics dismissed the buyback as 'rearranging deckchairs on the Titanic,' citing the $4 billion target as too small relative to the $32 trillion Treasury market, while analysts at Evercore ISI warned the impact would be short-lived.
- Defending the plan on CNBC Thursday, Bessent stated the department has a 'big toolkit' and could expand buybacks further, while signaling the administration will soon announce increased fiscal consolidation efforts.
- Broader fiscal and geopolitical pressures—rising oil prices tied to the Iran conflict and heavy corporate debt issuance for AI infrastructure—continue straining yields, with economists skeptical that tactical interventions alone can sustainably lower borrowing costs.
134 Articles
134 Articles
Trump Suggests He Can Use the Military on Bond Markets: ‘If We Have To Use That, We Will’
President Donald Trump suggested Friday he could use the military to stage an “intervention” on bond markets in a confusing response to a reporter asking about Treasury Secretary Scott Bessent’s efforts to bring down soaring yields. The Treasury Department surprised Wall Street on Wednesday by announcing plans to “at least double” its purchases of long-term government bonds starting next month. The move initially sent long-dated Treasuries sharp…
Treasury doubles long-term bond buybacks as yields test multi-year highs
The Treasury Department’s decision to double planned purchases of longer-dated government bonds delivered an immediate message to markets: officials are prepared to use available tools when rising yields begin to threaten broader financial conditions. The move worked in the short term. The 30-year Treasury yield fell nine basis points to 5.2% after the announcement, while the 10-year yield dropped six basis points to 4.65%. Both had been under h…
Scott Bessent cannot save the bond market from Congress's $40 trillion national debt
One month after the bond market went ballistic, with the 10-year Treasury yield breaching 4.7% and the 30-year Treasury yield skyrocketing to 5.17%, the market is now well and truly imploding. The benchmark 10-year hasn’t come down, and the 30-year has catapulted toward 5.3%, hitting its highest level since before the Great Recession. The financial fracas prompted Treasury Secretary Scott Bessent to announce on Wednesday that the Treasury would …
The Indiana Gazette Online
Bessent flags bigger debt buyback potential, coming fiscal plan
Treasury Secretary Scott Bessent said that he’s prepared to expand efforts to buy back costlier debt and that the administration will be unveiling a new fiscal initiative to address the highest borrowing costs in years.
Damn Joe Biden’s $40 Trillion Debt!
Sure, why not go with a thuddingly obvious illustration this time? Photo by ‘Images of Money,’ Creative Commons License 2.0.According to the Treasury Department, this week the US federal debt reached $40 trillion with a T, which is what happens when there’s less revenue coming in than spending going out. The annual interest on the total debt comes to a trillion dollars, which makes it the second-largest single annual outlay, behind Social Securi…
Bessent hints at bond plans
US Secretary of the Treasury Scott Bessent on Thursday said that he might further increase the US government’s repurchases of Treasuries, attempting to jawbone a government debt market that was beginning to balk after the previous day’s surprise plan to double buybacks.Bessent, a former hedge fund m
Coverage Details
Bias Distribution
- 41% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
