The US government will acquire securities maturing in 10 to 20 years on October 1 to stabilize the trading of long-dated bonds. This liquidity buyback of up to $6B is part of a broader support program that has seen the US Treasury conduct repurchases on a near-daily basis to prevent market dysfunction.

The intervention follows a move in the 10-year yield to 5.3%, a new 52 week high. This spike in yields occurred despite the release of Personal Consumption Expenditures data this morning that was better than market expectations and reduced some immediate inflation fears.