Treasury Buys $6 Billion of Bonds as 10-Year Yield Hits 24-Year High

The US Treasury used its full $6 billion limit in Thursday's bond buyback, retiring older long-term debt early. The move came as the 10-year Treasury yield touched 5.342%, its highest since April 2002.

When yields climb, mortgages, business loans, and federal borrowing all cost more, which has negatively impacted Bitcoin (BTC). Despite reaching a 24-year high, Bitcoin has struggled to hold its gains.

The Treasury's $6 billion bond buyback involved two specific bonds that pay low interest and mature in 2041 and 2042. Investors offered $46.4 billion of bonds, but the Treasury only took $6 billion, which cost roughly $4.47 billion in cash to retire.

The larger program, which runs from September 9 to November 4, aims to reduce borrowing costs. However, the recent data offered little relief, with a survey gauge of what US factories pay jumping to 77.9 and oil sitting near $91.