iShares Short Treasury Bond
The demand for 4-week Treasury bills remained subdued last week
A considerable amount of $35 billion was offered for the weekly four-week T-bills auctioned on Tuesday, March 4, 2014.
Must-know trends that affect pricing at T-bill auctions
The U.S. Treasury holds weekly auctions for the four-week, 13-week, and 26-week Treasury bills. But its auctions for 52-week Treasury bills (SHY) take place only once a month.
Must-know: Analyzing the 6-month Treasury bills auction
The share of primary dealer bids rose slightly. An increase in the percentage of primary dealer bids is a sign of weaker fundamental market demand.
How Did US Treasury Auctions Fare Last Week?
The US Department of the Treasury’s 26-week Treasury bill, or T-bill, auction, totaled $26 billion last week.
Must know: The trading markets available to the investors
Retail investors mostly prefer the secondary market for buying Treasuries as it eliminates a lot of paper work and other administrative hassles.
Assessing Sovereign Bonds amid Heightened Global Uncertainty
Global uncertainty, Brexit, and the prospect of further easing from central banks in developed markets have spurred demand for government debt.
Why the bid/cover ratio for the 6-month Treasury bills declined
Despite an increase in the six-month Treasury interest rates, last week’s coverage at 4.46x was lower than the previous week’s 4.76x bid/cover ratio.
Why was the short-term T-Bills auction strong last week?
The short-term securities that have already been auctioned last week include four-week, 13-week, and 26-week T-Bills.
Why did demand for floating-rate notes decline?
Floating-rate notes (FLRN) are the Treasury’s most recent issue. Their first auction was held in January 2014. They offer you a term-to-maturity of two years.
Must-know: Why demand for 6-month T-bills continues to grow
Demand for six-month Treasury bills has seen a continuous uptrend over the past four weeks, as we’ve seen in the rising bid-to-cover ratio.
Why did the 4-week rally in 6-month T-bill demand end last week?
This week saw the end of a four-week rally for six-month T-bills, as seen the in bid-to-cover ratio falling for the first time since March 17.
Trump Demands a 2% Rate Cut: 2020 Election Strategy?
Yesterday, in a series of late-night tweets, President Trump attacked the Federal Reserve and Jerome Powell again, calling them “boneheads.”
Why the Fed Has Initiated Balance Sheet Normalization
Atlanta Federal Reserve president and CEO, Raphael Bostic, recently spoke at a conference about the Fed’s balance sheet normalization program.
Strong US Jobs Report Raised Hopes of a Rate Hike in 2016
A rebound in second quarter GDP growth and the rise in the manufacturing sector makes the case for a rate hike in December 2016.
Category ETFs: Off to New Safe Havens
US equity markets have recovered from the declines on Monday, June 27, 2016. But money is flowing into safe havens as investors are remaining cautious.
Bill Gross Reviewed Close Calls That Dotted a ‘Magnificent Era’
In his monthly investment outlook for June 2016, Bill Gross outlined that money managers who have decades of experience witnessed a “magnificent era.”
BlackRock and DoubleLine See Rate Hike Coming in June or July
DoubleLine’s chief executive officer Jeffrey Gundlach wrote in an e-mail that the Fed is “signaling economic data are sufficiently robust to warrant a rate increase.”
What Went Down at Last Week’s 26-Week Treasury Bill Auction
The US Department of the Treasury held its weekly 26-week Treasury bill (or T-bill) auction on May 2.
Fundamental Market Demand Rose for 4-Week Treasury Bills Auction
The US Department of the Treasury conducted the weekly auction of four-week Treasury bills (or T-bills) on April 26.
How Short Duration Bonds Can Provide Stability
Short-term bonds can potentially offer stability to a portfolio given today’s historically low yields and impending rate hikes.
US Equities See Outflows of $3.1 Billion
US equity outflows In the week ended January 22, 2016, US equities saw total outflows of $3.1 billion compared to $1 billion in the previous week. These equities saw outflows due to slow growth, contraction in the manufacturing sector, and the perceived outperformance of European equities. The US economy saw unemployment claims rise in December […]
Why the demand for four-week Treasury bills fell in the past week
The bid-to-cover ratio compares the number of bids received in a Treasury auction with the number of bids accepted (or the amount of securities issued).
Analyzing demand for 13-, 26-, and 52-week T-bills last week
While four-week T-bills saw a drop in demand in the last week (as we discussed in the previous part of this series), three-month, six-month, and one-year T-bills saw an increase in demand.
Why the floating notes remained in demand despite higher issuance
After a drop during February 4 auction, the demand for one-year T-bill recovered over next two auctions. However, the April 29 auction saw the demand diminishing again.