Odaily News, the U.S. Treasury Department stated that it will purchase a minimum of $4 billion and a maximum of $6 billion in long-term government debt in the first operation of its expanded buyback program, demonstrating Bessent's determination to curb recent rising borrowing costs. U.S. Treasuries extended earlier losses after the announcement, suggesting the scale was smaller than some investors had expected. It remains to be seen how successful the expanded purchase program will be. Following the initial announcement of the program last month, yields fell but subsequently rebounded. The benchmark 10-year yield reached its highest level since 2023 last week.
Guha, an economist who previously worked at the New York Fed, stated: "The challenge is always whether the impact of these interventions can be sustained without more significant fundamental changes." Moreover, the maximum scale of the buyback operations does not necessarily mean the Treasury will purchase that amount of debt. However, in buybacks targeting long-dated nominal debt, the department tends to purchase the full scale, having failed to do so only twice in 52 such operations since the program was relaunched in 2024. (Jin Shi)
Odaily News: According to Gate data, the U.S. dollar index (DXY) rose nearly 20 points in the short term, currently at 98.64. Spot gold dropped $36 in the short term, now at $4,397.64 per ounce.
The U.S. Treasury previously stated that under its expanded Treasury buyback program, it will purchase up to $6 billion in long-term government bonds in its first operation.
Odaily News: The U.S. 30-year Treasury yield has climbed above 5.30%, up 5 basis points on the day, nearing recent highs. At 23:00 Beijing time, the U.S. Treasury stated that under its expanded Treasury buyback program, it will purchase up to $6 billion in long-term government bonds in its initial operation.
Odaily News: The U.S. Treasury will buy back up to $6 billion in long-term debt on Thursday. Previously, the U.S. Treasury stated that before November 4, the scale of individual long-term debt buybacks will at least double to $4 billion. (Jinshi)
