Bond Yields Drop After Treasury Says It Will Increase Buybacks

The Treasury Department took its latest step on Wednesday to try to contain rising borrowing costs, doubling the amount of its own debt it is permitted to buy back from investors.

BTC rose about 6% after the announcement, while the broader crypto market also moved higher.

After the bond market’s alarm bells rose in volume through the summer, the Trump administration announced on Wednesday a move that could help calm it down.

There are also fears over government debt and the huge amounts of cash being borrowed by tech firms to develop Artificial Intelligence (AI), with the timeline and level of returns on investment uncertain.