Up to $6 billion in long-term US government bonds is the target of an expanded buyback programme that Treasury Secretary Scott Bessent is directing to steady conditions in the government debt market. The effort extends an existing purchase facility.
Bessent's focus on long-duration paper places official buying pressure at the segment of the sovereign yield curve where duration exposure is heaviest. Long-dated bonds respond most directly when supply conditions shift, and purchases there carry more weight on the curve than equivalent volumes deployed at shorter maturities.
The programme ceiling stands at $6 billion. That it is framed as an expansion, rather than a new initiative, indicates the underlying mechanism was already in place. Bessent is scaling the tool up, directing it at greater volume toward a bond market he has identified as requiring active support.