Treasury yields fell on Monday after CNBC reported, citing two Treasury officials, that the department could use its $1 trillion General Account to fund plans to ramp up government bond purchases.
The 10-year Treasury note yield was last down more than 3 basis points to 4.704%. The 30-year yield, which last week hit levels not seen since 2007, lost more than 4 basis points to 5.234%. One basis point equals 0.01%, or 1/100th of 1%, and yields and prices move inversely to one another. The officials did not say how much of the TGA would be used.
Monday's report follows Treasury Secretary Scott Bessent's unveiling of an extended debt buyback program aimed at easing pressure on the long end of the yield curve. Yields initially fell after that announcement before rebounding higher.
Central bankers and economists will gather at the annual Jackson Hole Symposium this week, with traders focused on Federal Reserve Chair Kevin Warsh's keynote address, due on Friday, as sustained inflation pressures and the U.S.'s $40 trillion debt loom over the event.
