Treasury buyback fails to lower 10-year yields
The US Treasury’s expanded $6 billion bond buyback failed to suppress yields as anticipated, with the 10-year note holding near 4.85% despite market expectations for a larger intervention. New data shows the move has coincided with a significant spike in long-term costs, pushing the 30-year yield to 5.341% and mortgage rates to multi-year highs.
Per GN auto markets/bonds: bond trading, the 30-year Treasury yield has surged to 5.341%, a level last seen in June 2004, while the 10-year yield climbed above 4.9%, marking its highest point since 2007. This sharp rise in long-term costs has subsequently pushed mortgage rates to their peak levels since July 2025.
Source: GN auto markets/bonds: bond tradingThe US Treasury tripled its bond buyback to $6 billion, yet 10-year yields remain near 4.85%. Market expectations exceeded the announced figures, limiting the operation's impact on price.
Source: GN auto markets/bonds: treasury yields
