Federal Reserve Vice Chair for Supervision Michelle Bowman said the central bank will reorganize bank supervision into five geographic regions, each led by a regional leader responsible for supervisory activity. The Fed also plans to streamline its use of internal committees and consider updating asset thresholds that determine when banks face stricter capital, liquidity and stress-testing requirements, including a mechanism for periodic adjustments.

Traders have increased short positions against US government bonds as long-term yields approach a 24-year high, driven by renewed inflation concerns, global financial instability and technical factors. Open interest in futures linked to longer-dated securities, such as the 10-year Treasury note, has been increasing, suggesting traders expect bond prices to continue falling. Citigroup's David Bieber notes that the market remains at "extreme short" levels, with activity driven by new shorts and long liquidations.

Treasury Secretary Scott Bessent said stronger economic growth and spending restraint can reduce the federal debt-to-GDP ratio, but market strategists questioned whether growth alone can meaningfully narrow deficits. Economists expect this year's deficit to remain around 6% of GDP, while higher Treasury yields are adding to borrowing costs. Bessent has targeted a deficit of 3% of GDP.

US Treasury Secretary Scott Bessent has faced mounting economic policy challenges since taking over as Treasury secretary in 2025, including persistent inflation, soaring government debt, and a turbulent bond market. His signature '3-3-3' policy goals--cutting the deficit to 3% of GDP, achieving 3% growth, and boosting oil production by three million barrels daily--have largely fallen short, with growth stagnating near 2% and the deficit surpassing 6% of GDP. His approach has reportedly created a high-pressure work environment that has led to high turnover among senior officials.

US public markets remain a powerful engine for capital formation and investment, yet the number of public companies has fallen nearly 25% since 2000--even as total market value has grown more than fivefold. In a new blog, SIFMA's Joe Corcoran explores what's driving this decline and policy proposals that could help more companies go--and stay--public, including reforms to expand IPO access, simplify issuer requirements, modernize disclosures, and broaden investment opportunities.