Barclays: US Treasury Issuance Expected to Remain Flat for Two Consecutive Years
According to Odaily, Barclays Bank interest rate strategists expect in a research report that the US Treasury will keep the issuance size of interest-bearing bonds unchanged in the next quarter and throughout the entire 2026 fiscal year. Analyst Dhiraj Narula pointed out that this forecast is consistent with previous policy guidance, meaning that since the last increase in issuance from February to April 2024, the scale of bond issuance has remained stable for a full two years. Narula emphasized in the report that the underlying fiscal situation in the US remains severe. He noted: “An annual deficit approaching 2 trillions USD continues to put pressure on the US Treasury in terms of debt issuance.” Although the scale is currently expected to remain unchanged, Narula reminded that the US Treasury stated in November last year that it had “begun preliminary consideration of future increases” in auction sizes. Therefore, the upcoming quarterly refinancing announcement may reveal the latest progress on these expansion plans. (Golden Ten Data)
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