Wrapping up the week’s sales, the 7 year auction was good as the yield was right in line with the when issued and the bid to cover of 3.04 is above the 12 month average of 2.82 and the highest since they were reintroduced in Feb ’09. The current dynamic in the US Treasury market are quite amazing, albeit highly distorted, as on one hand we have the influence of rising commodity prices and an ever depreciating US$ and the other, the Fed’s printing press and the deflation believers.

Category: MacroNotes

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

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