Good morning.

As economists and markets ponder what’s ahead for next week and beyond, a big question looms: How will the US Treasury react to fluctuations in longer-term bond yields? Specifically, what will the balance be between: Further market intervention: Bigger and broader intervention tools; Fiscal adjustment: Outlining genuine fiscal reform plans; Passive tolerance: Accepting high and rising rates; and Risk mitigation: Focusing policies on softening the blow to the most interest-s — via @elerianm

Treasury intervention speculation on bond yields signals potential policy shift.