Treasury Buys Less Debt Than Expected, Boosting Yields
The U.S. Treasury repurchased $5.19 billion in long-term debt on September 10, below the maximum of $6 billion it had announced for its buyback program under Secretary Scott Bessent. This shortfall led to higher yields on government bonds, with the yield on 10-year notes rising by 11 basis points to 4.95%. The reduced purchase volume marked only the third time since 2024 that Treasury officials have not bought up the full amount in such operations. Market analysts noted this as a sign of increased selectivity from the Treasury, which may need to accept less competitive bids if it aims to meet market expectations and keep long-end rates lower. The buyback was closely watched following Bessent's recent expansion of the program, announced just weeks ago when he said operations would be
