Department announced a $6 billion bond buyback operation. US bond yields hit a nearly 3-year high Wednesday after Treasury announced a $6 billion buyback. Here’s what it means for borrowing costs. (Scripps News) Treasury’s $6 billion buyback fails to calm surging bond yields Treasury Secretary Scott Bessent. By: John Towfighi Posted 2:38 PM, Sep 09, 2026

US bond yields rose Wednesday to their highest levels in almost three years after the Treasury Department said it would buy back up to $6 billion of government bonds, putting a dollar figure on the operation first announced last month.

The 10-year US Treasury yield rose to 4.84%, its highest closing level since October 2023. Yields moved higher after the Treasury Department’s announcement, signaling some skepticism from investors.

The Treasury Department on August 19 announced it would at least double the size of bond buybacks from September to November. The announcement on Wednesday pins the buybacks at up to $6 billion, triple the size of the standard $2 billion operation.

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The Treasury Department said the buybacks aim to provide support and help bond markets function smoothly. Buybacks can also help try to tame rising bond yields, which have climbed in recent weeks to multi-year highs.

Yields rise when bond prices fall. Investors have sold bonds this year, pushing prices lower and yields higher. The rise in yields is lifting borrowing costs for consumers and governments alike.

By increasing the size of buybacks, Treasury Secretary Scott Bessent is flexing the tools at his disposal at the Treasury Department to try and temper the rise in yields.

Buybacks can bring bonds off the market, pushing up prices and pushing yields lower. The buybacks, which target long-dated bonds like the 10-year, are set to take place on Thursday.