Asian stocks rally as US Treasury steps in to ease bond fears

HONG KONG: Asian markets rallied on Thursday (Aug 20) after the US Treasury said it would "at least double" the amount of long-term bonds to push down borrowing costs, after they surged this week to near two-decade highs.The surprise move provided a much-needed shot in the arm for investors worried about a spike in 10- and 30-year yields caused by the prospect of inflation staying elevated, government borrowing and possible Federal Reserve interest rate hikes.Soon after the announcement, US equities reversed losses to end higher while the dollar tumbled against its peers as traders breathed a sigh of relief following a fresh bout of selling.Fears had been surging after the yield on a 30-year US Treasury on Tuesday hit its highest level since June 2007, before the global financial crisis. "