RBC Capital Markets: U.S. Treasury Buyback Expansion Still Positive for Long-Term Bonds

According to Wallstreetcn, RBC Capital Markets strategists said the U.S. Treasury's plan to expand buybacks still has a positive effect on long-term Treasury bonds, even though 30-year yields have risen back to roughly where they were before the department announced the buyback plan last month. In a research report released Wednesday, the strategists said long-end yields have generally moved higher alongside rising oil prices, while long-end swap spreads have held their gains since the buyback plan was announced, so the plan is not entirely wasted.