Billion

You can also read this news on COINTURK NEWS: <a href="https://en.coin-turk.com/us-government-initiates-50-billion-treasury-buyback-program/" data-wpel-link="internal">US Government Initiates $50 Billion Treasury Buyback Program</a> 
The US government has launched a $50 billion Treasury buyback program set to last until October. This move aims to manage bond supply and increase liquidity, coinciding with rising speculation of an imminent Fed rate cut. 
<h2 style="text-align: justify" id="strong-program-details-and-purpose-strong">Program Details and Purpose</h2> 
Lark Davis shared on the X platform that the program will start with an $8.5 billion buyback in August, followed by $31.5 billion in September, and conclude with $10 billion in October. A total of $50 billion will be used to buy back old government bonds. No new money will be printed; existing money will be redistributed. Although the buyback program injects money into the economy, it is not the same as the Fed printing money. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter wp-image-377958" src="https://coin-turk.com/wp-content/uploads/2024/08/Lark-Davis-Piyasa-Ekonomi.png" alt="" width="563" height="433"> 
The program aims to provide additional liquidity and allow <a href="https://finance.coin-turk.com/" data-wpel-link="exclude">investors</a> to sell their bonds back to the Treasury. This will help resolve liquidity issues in the market by buying back low-yield and less liquid old bonds. Thus, investors can return their bonds without having to sell them at low prices in the market. 
<h2 style="text-align: justify" id="strong-rate-cut-expectations-and-possible-market-reactions-strong">Rate Cut Expectations and Possible Market Reactions</h2> 
Wharton Professor Jeremy Siegel and financial expert Robert Prechter believe there is a 74.5% chance of a 50 basis point Fed rate cut in September. According to Davis, the Treasury buyback program and a 50 basis point rate cut could boost market momentum and make September a turning point for global markets, especially the <a href="https://en.coin-turk.com/fed-may-lower-interest-rates-until-march-2024/" data-wpel-link="internal">cryptocurrency market</a>. 
Prechter expects an urgent rate cut before the September Fed meeting due to current market instability and historical <a href="https://newslinker.co/how-does-artificial-intelligence-work/" target="_blank" rel="noopener" data-wpel-link="exclude">data</a>. Experts like Peter Schiff and Scott Melker argue that an urgent cut could worsen economic problems and lead to a market crash. 
The CME FedWatch Tool currently shows a 74.5% chance of a 50 basis point rate cut in September and a 25.5% chance of a 25 basis point cut. Moreover, market sentiment is mixed. Polymarket saw a 55% chance of an urgent rate cut, but this dropped to 18% due to the lack of an official announcement. 
<h5>The post first appeared on COINTURK NEWS: <a href="https://en.coin-turk.com/us-government-initiates-50-billion-treasury-buyback-program/" data-wpel-link="internal">US Government Initiates $50 Billion Treasury Buyback Program</a></h5>
The post <a href="https://en.coin-turk.com/us-government-initiates-50-billion-treasury-buyback-program/" data-wpel-link="internal">US Government Initiates $50 Billion Treasury Buyback Program</a> appeared first on <a href="https://en.coin-turk.com" data-wpel-link="internal">COINTURK NEWS</a>.

US Government Initiates $50 Billion Treasury Buyback Program

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