Treasury Secretary Bessent has a plan

... to bring down long-term yields. But will it work?

The plan is to soon lower the supplementary leverage ratio for banks, which should theoretically allow them to hold more U.S. government debt, lend more freely or both. 

The SLR, established in 2014, is aimed at ensuring that banks have sufficient capital to absorb losses,

particularly during periods of stress, and requires them to hold a specific amount of high-quality capital relative to their total leverage exposure.

A potential revamp of the SLR  has already gained support from the banking sector. 

Vivien Lou Chen MarketWatch 27 May 2025

https://www.marketwatch.com/story/treasury-secretary-bessent-has-a-plan-to-bring-down-long-term-yields-but-will-it-work-bbe73dfe

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