Treasury Buybacks Against a $40 Trillion Balance Sheet

Washington moved to calm the bond market this week. The calm lasted about a day. This week delivered three pieces of news that belong together. The US Treasury said it would roughly double the amount of older, long-term government debt it buys back from investors. In the same stretch of days, the total US national debt crossed $40 trillion for the first time. And just before all this, the interest rate on the government's 30-year debt had climbed to its highest level since 2007. Put plainly: borrowing costs were rising uncomfortably, the debt pile hit a milestone number, and the Treasury stepped in to try to steady things.

#Treasury, #BondMarket, #USDebt, #SafeHaven, #Macro

Previous
Previous

What Comes Next? Treasury Buybacks Against a $40 Trillion Balance Sheet

Next
Next

The Hub Contest | Hong Kong, Singapore,& the Convergence on Zero-Tax Carry