US Treasury expected to keep coupon auction sizes steady

The US Treasury is expected to leave coupon auction sizes unchanged this week. Primary dealers anticipate potential cuts to long end bond issuance next year to manage growing deficits and debt.

Xurve View
Insights:
FILE PHOTO: The US Department of the Treasury Building in Washington, D.C., U.S., July 11, 2026. REUTERS/Daniel Heuer/File Photo

The United States Treasury is expected to hold coupon auction sizes steady on Monday, while dealers eye adjustments in August 2027 to manage rising debt. The upcoming quarterly refunding follows a fiscal year 2026 deficit of $1.992 trillion. Managing long-term borrowing costs remains a key focus for investors navigating heavy government issuance.