The Treasury just sold $24 billion 10 Years in a completely unremarkable bond auction, which was virtually a carbon copy of the January sale of 10 Year, except with a slight drop in the Bid To Cover, which declined from 3.29 to 3.05, and an increase in the yield from 1.90% to 2.02%. All the other metrics were essentially the same as a month earlier: Directs at 17.9% vs 17.4% prior, Indirects 38.9% vs 38.4% before, and Dealers at 43.3% vs 44.4% before. And now, heartened by this successful sale, the Fed itself is in the market selling $8.00-$8.75 billion in 1.5 year bonds. In other words, bonds for everyone - it is a repo market ponzified debt issuance bonanza!
