Deutsche Bank has compared the U.S. Treasury’s decision to double its buyback program with the Federal Reserve’s 2011–2012 Operation Twist, suggesting the fiscal measure could influence the yield curve (the relationship between interest rates and bond maturities). The Treasury, which launched the program in 2025 after announcing it in 2024, will now repurchase up to $30 billion of outstanding securities per quarter, compared with $15 billion previously. The program was initially intended to improve liquidity in older, less-traded Treasury securities, but analysts led by Matthew Raskin say its larger scale could also affect long-term interest rates. The comparison comes as the Federal Reserve reduces its bond holdings through quantitative tightening (shrinking a central bank’s balance sheet). If the buybacks put downward pressure on long-term yields, the result could be a flatter yield curve, with implications for banks, mortgage rates and economic activity. The move also indicates that the Treasury may be taking a more active role in managing market conditions rather than acting solely as a passive debt issuer.