Treasury Bills Trade Negative for the First Time
December 10th, 2008Via: Bloomberg:
Treasuries rose, pushing rates on the three-month bill negative for the first time, as investors gravitate toward the safety of U.S. government debt amid the worst financial crisis since the Great Depression.
The Treasury sold $27 billion of three-month bills yesterday at a discount rate of 0.005 percent, the lowest since it starting auctioning the securities in 1929. The U.S. also sold $30 billion of four-week bills today at zero percent for the first time since it began selling the debt in 2001.
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“as investors gravitate toward the safety of U.S. government debt,”
I can only shake my head from left to right back and forth, back and forth, etc.in disbelief. Investing in the “safety” of U.S. Government debt?! What has been introduced into the water system in the U.S.? Some weird psychotropic? Magic Mushroom elixir?
Who is the lead shepard of this pack investing in U.S. Treasuries? Do they have a name? Could it be…Ben Bernanke? I smell something VERY FISHY going on here. I cannot put my finger on it. I for one would rather use my dollars as toilet paper rather than put them in U.S. Treasuries right now. Buyer beware. I think investors are about to get wrapped around some very weird axle. I think we’ll know what the jig is by Friday. If even in the aftermarkets.
As George W. Bush has said, “fool me once, fool me twice, don’t get fooled again.”
God help me that I am I quoting Bush the Joker. The King of Spades.
I have no worries that we do not have to bother with wanting Bush and his Illumanti puppet masters to be punished for all that they have tried and have done to kill the human spirit. Not to mention their undercover seizing of our 401k’s etc.
They will not escape their karma.
I see a movie being made some day called the Christmas Carol Redux.
Dick Cheney will be in the role of Marley. Bush will be in his bed and visited by the spirits.
I don’t know if there’s going to be a crying happy catharsis at the end of this one, but oh boy, I have no doubt that being on the wheel of life, George Bush and the rest of the gang that have been pulling his strings are going to be having a behind the scenes version of this movie.
Bah humbug.
According to Fekete negative T-bill rates have occurred in the past (like in the ’30s). I haven’t tried to dig up the data to verify.
Bottom of Page 2: http://www.professorfekete.com/articles%5CAEFCanWeHaveInflationAndDeflation.pdf
From my understanding, the T-bills are acting like dollars as the markets seek safety as lending grinds to a halt.