Wall Street Braces for Potential US Treasury Debt Issuance Overhaul

Wall Street dealers are anticipating adjustments to U.S. Treasury issuance guidance in the upcoming quarterly policy statement following interventions by Treasury Secretary Scott Bessent.

Some financial institutions predict the Treasury may announce cuts to 20- and 30-year bond sales starting this month, balanced by increased issuance of short-term bills and notes.

The potential shift comes as the government faces annual deficits of around $2 trillion and mounting public debt, raising the share of outstanding bills to approximately 22%.