The U.S. Department of the Treasury announced it will offer $125 billion in Treasury securities to refund about $90.2 billion in privately-held notes and bonds that mature on February 15, 2026. This issuance is expected to raise approximately $34.8 billion in new cash from private investors.
The offering includes a 3-year note totaling $58 billion maturing on February 15, 2029; a 10-year note of $42 billion maturing on February 15, 2036; and a 30-year bond of $25 billion maturing on February 15, 2056. The auctions for these securities are scheduled for February 10-12, with settlement set for February 17.
Deputy Assistant Secretary for Federal Finance Brian Smith stated that the Treasury's current auction sizes position it well to address possible changes in fiscal outlook and adjustments to the System Open Market Account (SOMA) portfolio. "Based on current projected borrowing needs, Treasury anticipates maintaining nominal coupon and FRN auction sizes for at least the next several quarters," Smith said. He added that trends in demand and risks related to various issuance profiles are under review as future increases are considered.
For the upcoming quarter, Treasury will continue regular weekly bill auctions, cash management bills (CMBs), monthly note and bond offerings, TIPS (Treasury Inflation-Protected Securities), and two-year Floating Rate Note (FRN) auctions.
Auction size data provided by Treasury shows consistency across maturities such as the two-year, three-year, five-year, seven-year, ten-year, twenty-year notes and thirty-year bonds between November 2025 and April 2026. Adjustments may be made through bill auction sizes or CMBs if there are unexpected changes in borrowing needs during this period.
Regarding TIPS financing for February to April 2026, Treasury plans no change: the new issue auction size for thirty-year TIPS remains at $9 billion in February; ten-year TIPS reopening at $19 billion in March; and five-year TIPS new issue at $26 billion in April.
Bill issuance is expected to remain steady into mid-March based on current fiscal forecasts. By late March, short-dated bill auction sizes may be reduced due to anticipated tax receipts around April 15. This reduction could result in a net decline of total bill supply by up to $300 billion by early May.
The cash balance projection assumes an end-of-March level of about $850 billion but estimates suggest the Treasury General Account could peak near $1 trillion by late April before declining after tax season. This forecast depends on uncertain factors including tax receipt levels and broader economic conditions.
Treasury also released a tentative buyback schedule for the coming quarter: up to $38 billion in off-the-run securities will be purchased across liquidity support buckets and up to $75 billion within the one-month-to-two-year bucket for cash management purposes.
A notice of proposed rulemaking was issued January 14 regarding expanded direct buyback access for certain counterparties involved in Treasury auctions. The comment period ends February 13 with final rules expected later this year; more information can be found at https://www.regulations.gov.
In preparation for moving its buyback operations onto FedTrade Plus—the Federal Reserve Bank of New York’s new trading platform—Treasury plans a small-value test buyback with further details forthcoming. Officials clarified that this test should not signal any imminent policy changes regarding existing processes.
Comments or suggestions related to debt management can be submitted via email at debt.management@treasury.gov. The next quarterly refunding announcement is scheduled for May 6, 2026.
