The Federal Reserve has cut its QE purchasing pace, and yet the US Treasury Department doesn’t seem hampered by a shortage of bidders for its record-setting note auctions. Far from “too many” Treasuries, prices are once more unequivocal how there aren’t enough. With or without Powell, the auction record is clear and, unlike those constantly talking up the BOND ROUT!!! [...]
Hold all the congratulations. Jay Powell is, with a huge assist from the financial media, trying to pre-empt what comes next by taking a premature victory lap. The Fed isn’t just your central bank it is your friend. The amount of pure propaganda being put out lately is understandable if still disgusting. March was a good month to include [...]
While I would love to be talking about the Buffalo Bills in the AFC Championship game, or at least the addition of some kind of competency in some form (any) for the team, this post is dedicated instead to the newest mechanics in treasury bills. The most recent 4-week bill auction went off at 0.0%, in a string of zero [...]
The third and latest gold/collateral episode appears to have been related to the debt ceiling, and so it would make sense that gold prices would now be able to shake off the collateral side and resume on a physical shortage basis. Forward rates were most negative on August 22. The sudden move upward in GOFO began on August 27 (as [...]
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