Treasury Secretary Named New Counselor to Advise on Bond Yields

The appointment of economist David Zervos comes as the 10-year Treasury yield hit 5.2%.

Updated on Sept. 28, 2026 in Economic Indicators

Bold flat-color editorial illustration of a polished steel pendulum sphere hanging above a stone base, representing economic policy and market balance. — Treasury Secretary Scott Bessent has appointed economist David Zervos as a counselor to provide advisory support on Treasury policy and bond market conditions. AI Illustration. Upload story photo >

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Treasury Secretary Scott Bessent has hired former Jefferies economist David Zervos to serve as a counselor. The role provides advisory support on Treasury policy during a period marked by rising bond yields and recent shifts in Federal Reserve policy.

Why it matters

The appointment comes as the U.S. financial landscape faces higher borrowing costs, evidenced by the 10-year Treasury yield reaching 5.2% on September 25, 2026. Zervos will offer guidance on policy as households and markets navigate an environment of interest rate adjustments.

The 10-year Treasury yield reached 5.2% on September 25, 2026, marking a point not seen since 2007. This rate benchmark influences borrowing costs throughout the economy, though the precise impact on individual consumer loan products remains tied to broader market volatility.

The players

Scott Bessent

The Treasury Secretary who oversees government debt management and advises on national economic policy.

David Zervos

A doctorate-level economist and former Federal Reserve adviser appointed to counsel the Treasury Department.

The details

Treasury Secretary Scott Bessent exercised his authority to appoint the counselor without requiring Senate confirmation. David Zervos, who holds a doctorate in economics and served previously at the Federal Reserve, will begin advising on policy immediately. His tenure at Jefferies and past work with the Federal Reserve serve as the backdrop for his role in addressing current economic debates and the implications of recent rate increases.

2007: The 10-year Treasury yield last reached current levels.
2009: Zervos served as a Federal Reserve visiting adviser.
2010: Zervos began his tenure at Jefferies.
September 25, 2026: The 10-year Treasury yield hit 5.2%.
September 27, 2026: Secretary Bessent commented on Federal Reserve policy.

Money Landscape

This appointment occurs as the U.S. reaches a 10-year Treasury yield of 5.2%, a level not recorded since 2007. The move highlights the government's focus on navigating a rising rate cycle following the Federal Reserve's first rate increase since 2023.

As Treasury policy shifts alongside rising bond yields, households may see indirect effects on mortgage and auto loan rates tied to benchmark debt. Consult with a qualified financial professional to understand how current interest rate trends may impact your specific debt management or savings goals.

The takeaway

The addition of an experienced economist to the Treasury indicates a strategic response to current interest rate volatility. Readers should continue to monitor 10-year Treasury yields, as these figures often serve as a bellwether for long-term consumer borrowing costs.