US Treasury Secretary Scott Bessent stated on the 20th (local time) that the scale of Treasury buybacks could exceed $4 billion per operation.

Appearing on the US business channel CNBC that day, Bessent said, "We have many policy tools at our disposal, so we will see," adding, "Part of that is sending a signal here, to show that current Treasury yields are not properly reflecting underlying economic conditions."

Bessent's remarks came a day after the US Treasury announced it would double the size of its long-term Treasury buybacks from $2 billion to at least $4 billion per operation.

Starting September 9, the Treasury plans to expand the buyback scale targeting long-term Treasuries, including 10-to-20-year and 20-to-30-year bonds.

The US Treasury's buyback program involves purchasing existing government bonds traded in the market to enhance liquidity in specific maturity segments and ensure smooth market functioning.

Following the Treasury's announcement, the yield on 30-year US Treasuries plummeted, but later erased those declines and rose again.

US Treasury yields have maintained an upward trend even after Bessent's remarks that day.

He also stated that the US administration will "focus more on fiscal consolidation" either "this week or early next week," noting that the government is reviewing both revenues and expenditures.

(Photo: AP, Yonhap News)