Bessent could tap near $1 trillion Treasury General Account to fund bond buybacks: CNBC
Senior Treasury officials told CNBC the near $1 trillion Treasury General Account could help fund expanded bond buybacks.
- Treasury Officials told CNBC on Monday that The Treasury could use its near $1 trillion General Account to help fund planned bond buybacks, providing firepower to manage long-term yields.
- Official foreign institutions now hold about 12% of outstanding securities, down from roughly 40% after the 2008 financial crisis, as debt has surged to $40 trillion.
- After yields reached 19-year highs last week, Bessent announced The Treasury would more than double buybacks, though the impact was short-lived as yields rose back quickly.
- Using the General Account could change market perceptions about The Treasury's firepower, as the account holds almost $1 trillion and provides an alternative to issuing new debt.
- Russian invasion of Ukraine in 2022 and reduced purchases from China and Beijing have complicated Treasury markets, while Western governments face geopolitical risks holding dollar-denominated assets.
19 Articles
19 Articles
'Ominous music' requested by CNN anchor as 'tremors' threaten to rock Trump economy
CNN's John Berman suggested "ominous music" should accompany the latest reporting on President Donald Trump's economy.The Treasury Department could tap nearly $1 trillion in general accounts to fund an increased pace of government bond purchases, according to two senior agency officials, in a move that CNN global economic analyst Rana Foroohar called "a really big deal" with troubling implications.The U.S. carries too much debt, she said, and in…
In his surprising offensive, US Treasury Secretary Bessent has left the funding open. According to a report, a Treasury account could be tapped into the Fed.
Bessent Could Tap $1 Trillion Treasury General Account
The Treasury could tap the near $1 trillion Treasury General Account (TGA) to expand government bond buybacks, CNBC reported two senior Treasury officials as saying. Treasury yields retreated from recent multi-year highs, causing bond prices to bounce modestly following the news. It follows Treasu
Coverage Details
Bias Distribution
- 46% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
