US Long-Dated Treasurys Extend Losses After Treasury Buyback Target Increase

U.S. long-dated Treasurys extended their losses after the U.S. Treasury raised the target size of Thursday's 10-year to 20-year bond buyback to $6 billion, triple the previous level. According to Sina Finance, the adjustment was smaller than some strategists had expected. The 30-year U.S. Treasury yield rose to an intraday high, up about 4 basis points on the day. The 5s30s yield spread widened to about 69 basis points, its steepest level of the day. Long-dated swap spreads had earlier moved higher before the Treasury announcement, then fell back to near flat after the $6 billion buyback size was disclosed.