Story perspectives

Treasury Doubles Bond Buyback to $4 Billion

8/22/2026

Summary

Story summary

Treasury Secretary Scott Bessent announced Treasury will double its bond buyback program to $4 billion per operation.
The 10-year Treasury yield rose to 4.69% on Thursday.
The 30-year Treasury yield reached 5.23% on Thursday.
10-year breakeven inflation climbed to 2.34%, the highest since June 10.
AI-related bond issuances by big-tech firms increased supply, lowering bond prices and pushing yields higher.

History

Historical Context

In February 1994 the Federal Reserve, chaired by Alan Greenspan, raised the federal funds rate from 3% to 3.25%, triggering the “Great Bond Massacre” that wiped out about $1.5 trillion in global bond value and lifted the 10-year Treasury yield to roughly 8%. Treasury Secretary Lloyd Bentsen then authorized a $1.5 trillion issuance, and today Treasury Secretary Scott Bessent’s double-bond-buyback plan mirrors that 1994 response to tame yield spikes.

1 of 2

Story summary

Treasury Secretary Scott Bessent announced Treasury will double its bond buyback program to $4 billion per operation.
The 10-year Treasury yield rose to 4.69% on Thursday.
The 30-year Treasury yield reached 5.23% on Thursday.
10-year breakeven inflation climbed to 2.34%, the highest since June 10.
AI-related bond issuances by big-tech firms increased supply, lowering bond prices and pushing yields higher.

1 / 2