US Treasury official Bessent’s attempt to stabilize the bond market through doubled debt buybacks has failed to soothe investor anxiety, fueling concerns over rising inflation.
Global markets reacted negatively, with Asian shares showing mixed results as the 'bond gambit' failed to lower borrowing costs, which remain at elevated levels.
Analysts warn that the strategy may inadvertently prolong the 'debasement trade,' as government bond yields continue to soar despite the intervention efforts.