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| Economy |
| Record Foreign Demand For Blowout 30Y Treasury Auction Sends Yields Tumbling Across The Curve |
| 2023-01-13 |
| [ZeroHedge] After a stellar 3Y, an impressive 10Y (both of which came in far stronger than expected, prompting us to correctly say there were zero jitters about today's CPI print in the bond market), moments ago we got an absolutely blowout, record 30Y auction. The high yield of 3.585% was fractionally above last month's 3.513%, but stopped through the When Issued by 2.4bps, one of the biggest stop throughs on record which was especially remarkable when considering the powerful rally across the curve going into the auction and lack of concession as the curve had tried to steepen on several occasions, and failed. |
| Posted by:Skidmark |
| #6 US T-debt curve still looks unhealthy 1 yr note ~ 4.5% annual 30 yr bond ~ 3.6% annual |
| Posted by: lord garth 2023-01-13 13:23 |
| #5 When the SWISS Bankers, the Swiss for Gods sake, post a 143 billion loss, even the most foolish in international banking see a real shit-storm on the horizon, WEF blather notwithstanding, so they run to the last sure thing from the old days. And a lot of clueless morons figure if short-intermediate term treasuries are a safe harbor, then long term must be a great play. Voila, unintended consequences of group-think by highly credentialed financial minds. |
| Posted by: NoMoreBS 2023-01-13 12:50 |
| #4 Maybe I'll try. Briefly, the Treasury holds auctions of Treasury bonds each week. This week a LOT of foreign buyers wanted to buy the bonds. So the Treasury was able to offer them a lower rate than usual. Traders then thought that foreign buyers might also want Treasury bonds with shorter maturities than 30 years also, so they went out and bought a lot of them, which meant that the price of the bonds went up (increase in demand increases price), which means that the yield on the bonds went down. Hope that is sort of helpful. |
| Posted by: Tom 2023-01-13 12:28 |
| #3 Short answer Mike is "NO". The people that said/wrote that haven't a clue. I think they're Biden's speech writers. |
| Posted by: AlanC 2023-01-13 12:03 |
| #2 ...Is there anyone here who can translate that into, you know, English? Mike |
| Posted by: MikeKozlowski 2023-01-13 10:40 |
| #1 |
| Posted by: Skidmark 2023-01-12 15:34 |