Treasury buybacks support long-term Treasury bonds.
The Treasury is increasing buybacks of longer-term debt, and with the Fed handing off duration positioning to the Treasury, Secretary Bessent is signaling he will buy 30-year paper at 5.2%-plus yields; this Treasury buying supports longer-term Treasuries.
Broad-based 20%-plus earnings growth is not limited to mega-cap tech; the rest of the market is now delivering double-digit growth as stimulus works through company books. This strong fundamental backdrop supports above-average equity valuations and resilience even in the face of geopolitical uncertainty.