Treasury triples long-term buybacks to $6 billion as yields rise
The U.S. Treasury set a $6 billion maximum for its Sept. 10 buyback operation of off-the-run notes and bonds, up from prior levels. The 10-year Treasury yield climbed to 4.85% on Wednesday, its highest since November 2023, before easing slightly.
S. Treasury as yields rallied even after the department tripled its long-term bond buyback operation to $6 billion, pushing the 10-year Treasury yield to its highest since November 2023. Bond Market Fighting the Treasury “The bond market is quite literally fighting the US Treasury as the Iran War continues,” the Kobeissi Letter said on X Wednesday. The market commentator added that the 10-year yield is up roughly 15 basis points from pre-announcement levels and is nearing a 100-basis-point move since the Iran war began.
The buyback size has now escalated in stages, from doubling to “at least doubling” to tripling, and yields still rose despite each intervention. You can't make this up. The US Treasury just announced it is tripling long-term buybacks to $6 billion and yields STILL rallied on the news. 85% on Wednesday, as Brent crude rose above $100 a barrel, reviving inflation fears ahead of next week’s Fed meeting.
829%. 279%. Read Also: Ted Cruz Warns 'Whole World Is In Trouble' If China Leads AI, Urges US to Act on 'Dangerous and Frightening' Risks Treasury Has Been Escalating Its Response The Treasury first doubled its liquidity-support buybacks to a $4 billion maximum per operation in August. On Wednesday, the Treasury set a $6 billion maximum for the Sept.
10 buyback operation of off-the-run notes and bonds, according to its preliminary announcement. Traders are pricing in roughly a 60% probability of a 25-basis-point Fed rate hike at the Sept. 16 meeting, according to CME FedWatch data. 09% in extended trading.
The iShares 7-10 year Treasury Bond ETF has a Momentum score in the 21st percentile and a negative price trend across the short, medium, and long term. See More: Top Momentum Stocks Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published editors. com