Fed and Treasury at odds?

[William Meyer]

Didn't Warsh say at the last fomc press conference that he wanted to let the long end of the curve do some of the economic tightening job?  Now Bessent is intervening to stop it or at least trying to.  

Also, since issuance at the long end has been light since Yellen, when might the lower volume begin to harm market liquidity and drive spreads higher?  They cant just do away with the long end issuance as it is used by insurance companies.  

[Joe Leote]

Maybe this will help. Tomorrow I plan to watch this video by liquidity expert Michael Howell regarding analysis of policy and developments:

What Bessent Is REALLY Doing With Treasury Buybacks | Michael Howell

Joe

On Fri, Aug 21, 2026 at 9:56 PM William Meyer <meye...@gmail.com> wrote:

Didn't Warsh say at the last fomc press conference that he wanted to let the long end of the curve do some of the economic tightening job?  Now Bessent is intervening to stop it or at least trying to.  

Also, since issuance at the long end has been light since Yellen, when might the lower volume begin to harm market liquidity and drive spreads higher?  They cant just do away with the long end issuance as it is used by insurance companies.  

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[William Meyer]

Thanks, Ill watch tonite.

I guess trump is now saying he had no knowledge and or nothing to do with bessent's buyback idea.  A sign bessent might be on the way out?

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