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Bessent's teacher Druckenmiller: "The long-term Treasury yield is the most important price in the world. It is also the only fiscal disciplinarian the U.S. has left..Every basis point of artificial yield suppression is a subsidy to procrastination." wsj.com/opinion/let-th…

“Suppressing long-term yields doesn’t remove the economic forces that pushed them higher, and a weaker dollar would ease financial conditions and potentially add to inflation through stronger demand and higher import prices“ Bloomberg writes, referencing Citadel

This week, we got a front row seat in the delineation between Fed and Treasury. It matters.

The Fed can’t fix fiscal sustainability issues but by staying in its swim lane will allow the fiscal side to get its act together. This doesn’t mean politicians will engage in entitlement

Key points of @SecScottBessent's @CNBCnow interview:
* bond repurchases "Treasury Twist" are all about signaling. He literally says this in the opening sentence, then a few times.
* says the bond purchases could be higher (without being specific), references a broad "toolkit"
* x.com/RapidResponse4…

The lack of precision is the news. It's all about signaling. x.com/AxelMerk/statu…

I asked Grok to illustrate the Treasury buyback.

Treasury: watch this
Market: hold my beer