Gold and bitcoin rose after the U.S. Treasury said it will nearly double the size of its buybacks of longer-dated debt. The move also pushed 30-year Treasury yields down and weakened the dollar, while prediction markets nudged up the odds of gold hitting higher price targets by the end of 2026.
The U.S. Treasury said it will double the maximum size of its buybacks of longer-dated Treasury securities, from $2 billion to at least $4 billion per operation, running from September 9 through November 4. Following the announcement, 30-year Treasury yields fell sharply, while gold and bitcoin both gained. The dollar weakened, a move often tied to rising commodity prices.
Prediction markets nudge up gold's odds
Prediction markets shifted after the news, with scenarios of gold reaching $15,000 by December 2026 seeing slight increases in implied probability, though the likelihood remains low. Still, the reaction shows how market participants view gold and bitcoin as hedges against currency devaluation and economic uncertainty in the wake of the Treasury's move.
What to watch next
Investors will track the Treasury's buyback operations once they begin on September 9, alongside any central bank gold purchases and U.S. inflation data. Geopolitical developments in Russia-Ukraine and Taiwan could also impact market sentiment and pricing in gold, according to the report.
Source: Crypto Briefing
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