Wealthion Macro Bites – Treasury’s Buyback Falls Short, Sending Yields to Multi-Year Highs

Secretary Bessent announced Thursday the Treasury will buy back $6B of its bonds this week (3x size of normal ops.) in a bid to rein in long-term Treasury borrowing costs.  However, because buyback whisper numbers were as high as $10B, bond markets were disappointed.  The 10-year Treasury yield touched 4.853% (highest since Nov. ’23) and the 30-year hit 5.301%.  The 2-year yield touched 4.434% (80bps above effective fed funds rate).

Indonesia’s newly appointed Financial Services Authority Chief Commodity Trading Supervisor, Sarjito (goes by one name), stated Indonesia is aiming to exert greater influence over prices of its top commodity exports at its new minerals and strategic commodity exchange scheduled to launch 1/1/27.  Indonesian President Prabowo Subianto delivered a fiery speech to Parliament on 8/14/26 in which he telegraphed expanded state control over the country’s vast natural resources while noting Indonesia would rather keep its commodities than sell them too cheaply.

Sarjito said the new Indonesian bourse would initially set prices “at a lower target” to establish its influence on the global stage, “So in the beginning, we don’t want to become a price taker, but we want to become a price influencer, become an exchange that can be a reference.  At the end, of course we must be able to and must be confident to become a price maker.”  Stay tuned…

The International Energy Agency (IEA) forecast that disruptions to oil and LNE shipments through the Strait of Hormuz will drive global coal demand 1.2% higher in 2026 to a record 8.94Bt.  Before the Middle East conflict, IEA had expected ’26 global coal demand to decline slightly, but rising oil and LNE prices have prompted higher electricity generation from coal in countries that have gas-fired power fleets and spare coal capacity.  Higher coal use was cited in the EU, Japan, South Korea and China.

In its latest Platinum Quarterly (published 9/9), the World Platinum Investment Council (WPIC) revised its ‘26 platinum market forecast to a 265koz surplus, reversing its prior estimate for a 297koz deficit.  The WPIC report disclosed a Q2 surplus of 244koz, as y/y supply increased 1% (to 1.91Moz) while demand fell 16% (to 1.66Moz).  The revision largely reflects investment outflows during H1 ‘26 rather than increased mine production.  As investment selling moderates, WPIC expects the market to swing from a 548koz surplus in H1 ’26 to a 283koz deficit in H2.

South Korea and the U.S. are discussing a possible Korean investment in Westinghouse Electric, as plans to include the construction of eight large nuclear reactors in the U.S. in a broader investment package gain momentum.  The prospect of Korea's acquiring a stake in Westinghouse has drawn attention because it could give the country greater leverage in addressing intellectual property issues that have long constrained its nuclear export ambitions.  But experts caution that a financial investment alone may do little unless it is accompanied by meaningful voting rights, governance safeguards and clear commercial returns.