Kevin Warsh, Chairman of the Federal Reserve, will speak for the first time this Friday at the Jackson Hole conference, with the market focusing on policy coordination with the Treasury on long-end yields.
Kevin Warsh's speech was his first public statement since the controversial July interest rate decision. Previously, US Treasury Secretary Scott Bessent directly intervened in the market last week by unexpectedly increasing bond buybacks, stating that "yields fail to reflect fundamentals," which clearly diverged from Kevin Warsh's previous stance that "rising yields are a good thing." The Treasury Department has initiated a debt management transformation, planning to double the size of buybacks for long-term, low-liquidity bonds starting in September, with an additional approximately $16 billion in buybacks each quarter, funded by issuing short-term Treasury bills. The market views this as a "twist operation."
Source:华尔街见闻 · Source Link
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