Reply To: Traders Market Weekly: Reasoning Inflation and Market Authenticity


US Treasury Quarterly #refunding of $103B to raise $19B cash & refund $84 billion maturing securities

Quarterly refunding of $103B to raise $19B of cash and refund $84 billion in maturing securities
Intends to gradually increase coupon sizes in Q3
2-year and 5-year note auctions to increase by $3B per month
10s to increase by $3B
2-year floaters to increase by $2B
20-year auctions to rise by $1B
30-year auctions to rise by $2B

Underscores why Fitch downgraded the US late yesterday. The auction sizes are larger than the market was anticipating and US yields are now at the highs of the day across the curve.