Dow Rises After Treasury Announces Expanded Bond Buyback Program
U.S. stocks rose after the U.S. Treasury announced it would at least double its bond buybacks, targeting long-dated government debt with maturities of 10 to 30 years. The move led to a decline in yields on both 10-year and 30-year Treasuries, easing concerns about rising borrowing costs for the U.S. government. The Dow Jones Industrial Average gained over 230 points (0.4%), while the S&P 500 and Nasdaq Composite also rose by similar margins. In addition to broader market gains, several stocks saw significant moves driven by specific news. Moderna surged more than 80% following positive data from a late-stage cancer vaccine trial with Merck, which itself gained over 7%. Marvell Technology climbed over 12% after announcing a partnership with Google involving tensor processing units and equity warrants. The market gains came amid ongoing global debt volatility. The S&P 500 had previously recorded three consecutive declines due to a selloff in sovereign bonds worldwide, including record highs for Japanese and German yields.
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