Billionaire investor Stanley Druckenmiller, who mentored Treasury Secretary Scott Bessent early in his career, criticized Bessent’s plan to increase purchases of long-dated US Treasuries, arguing that policymakers should allow bond markets to reflect underlying economic and fiscal conditions. He warned that trying to suppress yields could create problems elsewhere, including weakness in the dollar.
Druckenmiller’s criticism comes as 30-year Treasury yields have climbed to their highest level in nearly two decades, amid rising US debt and concerns over government spending. While Bessent says buybacks can improve liquidity and help lower borrowing costs, Druckenmiller argued they do not address the deeper forces pushing yields higher.