US treasury doubles debt buyback to steady bond market amid inflation fears

The US treasury is doubling its buyback of government debt to stabilize the bond market and address investor concerns regarding high inflation. This move aims to provide greater liquidity support after yields on 10-year, 20-year, and 30-year treasury notes reached 20-year highs this week. Specifically, the 30-year treasury yield hit its highest rate since 2007. Such rapid increases are concerning for borrowers because major loans, including mortgages, are directly backed by these treasuries.