Treasury triples buyback of longer-term debt to $6 billion

CEI’s Ryan Young was cited by the Washington Examiner regarding the increased buybacks from the Treasury.

Higher yields on longer-term bonds can signal unease about the longer-term financial prospects of the U.S. government, Ryan Young, a senior economist at the Competitive Enterprise Institute, told the Washington Examiner after the U.S. initially doubled buybacks to $4 billion.

“If investors are looking at buying a 10-year bond or a 30-year bond, they’re thinking, ‘Am I going to get my money back in 10 years or 30 years?’” Young said. “That’s not as risk-free as it used to be, which is why the government is having to offer higher and higher premiums to entice people to take on that now riskier debt.”

Read the full article at the Washington Examiner.