US Treasury Secretary Scott Bessent claims to have "asymmetric information" to fix long-term rates, yet markets remain spooked. The problem intensified after July, triggered by yen intervention, Fed facility signals, and Treasury buybacks. Critics argue these buybacks are a distress signal, throwing good money after bad as sovereign supply crowds out hyperscaler demand.

With US national debt above $40tn, investors question the credibility of fiscal plans. While figures like Kevin Warsh see rising yields as fiscal discipline, Bessent insists markets are wrong. Recent reports suggest Bessent may tap nearly $1tn from the Treasury General Account for buybacks, but analysts call this "bonkers," arguing the mere occurrence of buybacks signals lack of confidence rather than resolve.

Global yields are rising too, with France exceeding 4% and Japan nearing 3% on 10-year bonds. At Pimco, Marc Seidner and Pramol Dhawan suggest yields are becoming attractive for long-term buyers, but skepticism persists regarding government intervention effectiveness.