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Thins one is special for metalman who is probably still "watching keenly" all those T-auctions....
http://latimesblogs.latimes.com/mone...treet-kee.html
And a few more details:
http://www.rttnews.com/ArticleView.aspx?Id=797720
Keep on watching keenly metalman ......
http://latimesblogs.latimes.com/mone...treet-kee.html
Wall Street keeps wondering how low interest rates can go on Treasury securities. Now we find out that even zero may not be low enough.
The negative rates today were in the so-called secondary market, where investors trade with each other. The Treasury hasn’t yet auctioned T-bills at a negative rate, but it got close this morning: The government sold $30 billion in new four-week T-bills at exactly zero -- 0.000%, according to the Treasury’s report on the sale. "We were all watching it agog today," said Steve Meyerhardt, a Treasury spokesman in Washington
The annualized yield on three-month T-bills dipped slightly below zero at one point today, to negative 0.01%, according to Bloomberg News data. In effect, a negative yield means some investors are so hungry for Treasuries that they’re willing to pay more for a security than they’ll get back when it matures, and earn no interest while they hold it.
The last time short-term Treasury yields were negative was during the late 1930s and early 1940s, according to the authoritative book "A History of Interest Rates," by Sidney Homer and Richard Sylla.
The negative rates today were in the so-called secondary market, where investors trade with each other. The Treasury hasn’t yet auctioned T-bills at a negative rate, but it got close this morning: The government sold $30 billion in new four-week T-bills at exactly zero -- 0.000%, according to the Treasury’s report on the sale.And a few more details:
http://www.rttnews.com/ArticleView.aspx?Id=797720
The U.S. Treasury Department revealed that it sold $30 billion of the 4-week bills, with the auction receiving a yield of zero percent. The bid-to-cover ratio, a measure of demand for the securities, came in at 4.20.
[...]
On Monday, the U.S. Treasury Department announced Monday that it auctioned $27 billion of 26-week bills, which drew a stop-out rate of 0.300 percent and a bid-to-cover ratio of 2.63. An auction of $27 billion of 13-week bills drew a stop-out rate of 0.005 percent and a bid-to-cover ratio of 3.33.
Last week, the government sold $36 billion worth of 4-week bills. That auction received a stop-out rate of 0.040 percent and a bid-to-cover ratio of 3.16.
[...]
On Monday, the U.S. Treasury Department announced Monday that it auctioned $27 billion of 26-week bills, which drew a stop-out rate of 0.300 percent and a bid-to-cover ratio of 2.63. An auction of $27 billion of 13-week bills drew a stop-out rate of 0.005 percent and a bid-to-cover ratio of 3.33.
Last week, the government sold $36 billion worth of 4-week bills. That auction received a stop-out rate of 0.040 percent and a bid-to-cover ratio of 3.16.
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