US 30-Year Treasury Yield Returns to 5.26 Percent Despite Treasury's Buyback Pledge

US Treasury yields rose sharply on Thursday, 29 Mordad 1405 (August 20, 2026), according to TradingEconomics, reversing the previous day's decline that had followed Treasury Secretary Scott Bessent's announcement of expanded buybacks of long dated government debt. The 30-year yield climbed seven basis points to 5.26 percent, while the 10-year yield reached 4.71 percent, close to its highest level since early 2025. TradingEconomics data show the 30-year yield closed at 5.25 percent on 29 Mordad, up 0.12 points over the past month and 0.33 points higher than a year ago.

The reversal suggests investors remain skeptical that the Treasury's plan, which aims to at least double liquidity support purchases of securities maturing in 10 to 30 years, will provide lasting relief for elevated borrowing costs. According to Ecoiran, the US 30-year yield has reached its highest level since 2007, while long term German and British bonds have hit records dating back to 2011 and 1998 respectively. Analysts attribute the global trend to three simultaneous forces: concern that oil prices driven higher by the US Iran war will keep inflation elevated, heavy government budget deficits, and a wave of corporate bond issuance to fund artificial intelligence investment that is pulling some demand away from government debt.