MarketPR
Scott Bessent's push to bring down long-term Treasury yields has given Kevin Warsh an institutional test.
The effort reaches into territory the Federal Reserve manages through its own decisions on bonds and the balance sheet.
How clearly Warsh draws the line between Treasury's objectives and the Fed's independence is now the question. The tension runs along a specific axis.
When Treasury acts to suppress long-term rates, it moves onto ground the central bank controls through its own portfolio.
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