Bessent bets big on bond buybacks as yen defense looms

Treasury Secretary Scott Bessent signaled a hard line against currency traders as the Treasury prepares to announce the size of its longer‑dated bond buyback program, with expectations that each operation could run around $4–$6 billion (and possibly more). The move aims to support the yen amid Japan’s large U.S. Treasury holdings, and since the plan was floated, 10‑year yields have edged higher. Some analysts warn the policy could backfire or undermine Treasuries’ credibility, a view echoed by critics like Stanley Druckenmiller who called the expansion a price‑management mistake.