U.S. Treasury Secretary Scott Bessent announced plans to at least double long-term bond buybacks from $2 billion to $4 billion per operation. The purchases will begin on September 9, with up to $128 billion potentially spent over the course of a year. In response, the 30-year Treasury yield fell from over 5.3% to 5.19% before ticking up slightly to 5.218%. ING compared the intervention to « rearranging deckchairs on the Titanic » given the U.S. national debt of $40 trillion. BNP Paribas said these measures will struggle to offset declining Fed credibility and rising rate expectations.
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