HOLY !@#!! Treasury Auction Schedule
July 23rd, 2009Via: Market Ticker:
Oh My……
Let’s see if I can count this up….
70 day CMBs, $30 billion (tomorrow)
13 week Bills, $32 billion (July 27th)
26 week Bills, $31 billion (July 27th)
52 week Bills, $27 billion (July 28th)
2 year Notes, $42 billion (July 28th)
5 year Notes, $39 billion (July 29th)
7 year Notes, $28 billion (July 30th)
19 year, 6 month TIPS (reopened), $6 billion (July 27th)
That’s two hundred thirty-five billion dollars over the next week!
Almost one quarter of a trillion……. geejus.
I guess you should get while the getting is good, but this is going totally parabolic. That money has to come out of somewhere, by the way, in order for the sale to succeed, which is going to get rather interesting at some point – but exactly where it matters is impossible to know.
I expected that when we crossed the $100 billion threshold in a week the market would throw up all over it, but it didn’t. Now we’ve got the government trying to sell a quarter of a trillion dollars in debt over the next week, the announcement is out there, and while the bond market is selling off to a material degree equities could care less!
This is flat-out insane. At this run rate we would be trying to sell twelve trillion dollars over one year’s time, an obviously ridiculous and impossible-to-peddle amount of debt at any price.
Research Credit: dilinger
notice that about half of it ($115bn) is for 2-20 year maturities?
ah, insane. fiscal meltdown in other countries looks somewhat different to the “exceptional” US…exceptional in so many ways. the interest-rate bomb is coming? peak oil follwoed by peak US treasuries. very poetic. just when you though that they can’t pump any faster…
Kevin, I read this today on cnn.com,
http://money.cnn.com/2009/07/24/markets/bondcenter/bonds/index.htm?postversion=2009072407
In this they are talking about the huge glut ($115bn) that tochigi mentioned above but they do not mention the short term debt included in the article you referenced. Do you think there is a practical reason (other than managing appearances) for cnn counting the two year and longer debt, but not mentioning the greater amount of short term instruments going up for sale?
It seems arbitrary to me to draw the line between the newsworthiness of 2 year and one year maturity dates in their report, but I am ignorant of most all bond practices and accounting procedures. It would appear to me that both shorter and longer term debt would affect appetite, but what do I know?
Thoughts?