Treasury Auction Schedule for Week Of 7/6/2009

Treasury Department will auction the following Treasury securities in the week of July 6, 2009.

Monday July 6, 2009

• 13-week bill: $32 billion
• 26-week bill: $31 billion (up $1 billion from previous week)
• 10-year TIPS: $8 billion

Tuesday July 7, 2009

• 3-year note: $35 billion

Wednesday July 8, 2009

• 10-year note: $19 billion (this is a reopening; original issue was May 15, 2009)

Thursday July 9, 2009

• 30-year bond: $11 billion (this is a reopening; original issue was May 15, 2009)

Total for the week: $136 billion

• Bills: $63 billion
• Notes and bonds: $73 billion

(No more notes and bonds are scheduled to be auctioned until the last week of July.)

New York Fed Open Market Operation 7/1/2009

As part of permanent Open Market Operations (OMO), the New York Fed purchased the Treasury securities today:

• Operation type: Outright Coupon Purchase
• Total Par Amount Accepted: $2,999 million
• Total Par Amount Submitted: $9,493 million
• Maturity/Call Date Range: 08/15/2019 - 02/15/2026

Treasury Auction Result for 6/30/2009

The U.S. Treasury Department auctioned the following Treasury securities today.

4-week bill: $35 billion

• Primary Dealer: $18.56 billion
• Indirect Bidder: $12.65 billion
• Indirect Bidder %: 36%
• Bid to Cover Ratio: 3.06

SOMA bought additional $5.94 billion of 4-week bill.

52-week bill: $27 billion

• Primary Dealer: $10.68 billion
  Indirect Bidder: $14.69 billion
• Indirect Bidder %: 54%
• Bid to Cover Ratio: 2.94

Total for the week:

• Bills: $125 billion
• SOMA: $5.94 billion

Possible Overstatement of Indirect Bidders In Treasury Auctions

Caution about the numbers for Indirect Bidders in Treasury Auctions:

The Treasury Department apparently made a change in early June in the way how they compute indirect bids. No one seems to have a definite answer as to what changed, but Indirect Bidder percentage in Treasury Auctions in June has been significantly higher in most cases, prompting the speculation by the traders of manipulation or massaging of the numbers so that the market sees high indirect bids (considered to be the proxy for foreign interest in Treasuries).

Here's an article from Reuters regarding the issue:

US Treasury auction changes may overstate indirect bid (6/24/09 Reuters)

Treasury Auction Result for 6/29/2009

The U.S. Treasury Department auctioned the following Treasury securities today.

13-week bill: $32 billion

• Primary Dealer: $11.73 billion
• Indirect Bidder: $16.82 billion
• Indirect Bidder %: 53%
• Bid to Cover Ratio: 3.53

26-week bill: $30 billion

• Primary Dealer: $13.22 billion
• Indirect Bidder: $12.36 billion
• Indirect Bidder %: 41%
• Bid to Cover Ratio: 2.82 (below 3.00 two weeks in a row)