The United States Treasury announced a record $100 billion auction of four-week Treasury bills scheduled for August 7, 2025, with settlement on August 12. This auction highlights the scale of U.S. borrowing needs amid growing deficits and elevated longer-term yields, prompting increased short-term debt issuance. The four-week bill auction resulted in a high yield of 4.3% and a bid-to-cover ratio of 2.82, with approximately 3.25% of bids awarded at the high rate. Other recent U.S. Treasury auctions include a $58 billion three-year note sale with a high yield of 3.669% and a bid-to-cover ratio of 2.53, and a $42 billion 10-year note auction with a high yield of 4.255% and a bid-to-cover ratio of 2.35. The 10-year note auction marked the first auction tail since February 2025. Additionally, the Treasury plans to sell $82 billion in three-month bills and $73 billion in six-month bills on August 11, 2025, settling August 14. The Federal Reserve participated in the four-week bill auction with bids totaling $268.3 million. In Europe, yields on government bonds showed modest changes, with the UK 10-year gilt yield at 4.522%, German 2-year Schatz yield at 1.9%, and French 10-year OAT yield at 3.41%. These developments underscore the ongoing adjustments in global government debt markets amid shifting economic conditions.