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10 Year US Paper Prices In Subpar Auction

Tyler Durden's picture




 

Moments ago the Treasury priced it latest monthly issuance of 10 Year bonds in the form of a $21 billion reopening of one of the Fed's favorite CUSIPs to monetize, the 912828UN8 first auctioned off in February. The auction was hardly stellar, with the yield closing at 1.795%, tailing the When Issued of 1.790% by half a basis point. The Bid to Cover was also rather weak at 2.79, well below March's 3.19, and under the TTM average of 2.96%. Yet for all the complaining by the Dealer community, they ended up taking down 33.6% of the auction, with $40.8 billion in bids tendered, a 17.3% hit rate, and well above the 22.3% take down in March. The direct took down a sizable 29.1%, above the TTM average of 21.6%, leaving 37.3% to the Indirects, precisely as much as they had been allotted in the average auction during the past year. Still, hardly was the auction the disaster that Goldman's downgrade of the 10 Year point on the curve would have made it seem earlier today.

Finally, with just the 30 Year auction left for tomorrow, the total increase in US debt net of maturities now that the US is pretty much permanently without a debt ceiling, will amount to $6.7 billion, sending total Federal debt to about $190 billion away from $17 trillion.

 

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Wed, 04/10/2013 - 13:26 | 3432185 PUD
PUD's picture

BILL GROSS BUYING WITH BOTH FISTS...FISTING IS THE WALL ST TERM

Wed, 04/10/2013 - 13:31 | 3432212 Ahmeexnal
Ahmeexnal's picture

iPhone 5S to come with breaking technology:  PalmOS's Graffiti:

http://www.macrumors.com/2013/04/10/apple-pays-at-least-10-million-to-li...

Wed, 04/10/2013 - 13:33 | 3432219 ACP
ACP's picture

GS recommending shorting gold? Time to buy.

Wed, 04/10/2013 - 13:43 | 3432252 stocktivity
stocktivity's picture

Always the doomsday story that may be the beginning of the end. Altho I'll get a ton of down arrows from the ZH crowd, the simple fact is this....the S&P has gone up from 666 in march of 2009 to 1587 as of 1:30pm today and the Tyler's missed it. Once again...as long as Benny can keep printing money out of thin air, It's all Bullshit!!!

Wed, 04/10/2013 - 14:07 | 3432396 derek_vineyard
derek_vineyard's picture

ive posted the same thought.  doom and gloom on this website.  if you are years early on a market call you are WRONG.

666 to 1588   zero hedge WRONG for entire epic run--------- man up tyler and admit you are WRONG  (without an excuse)

Wed, 04/10/2013 - 14:52 | 3432740 de3de8
de3de8's picture

Mmmmm.......fisting

Wed, 04/10/2013 - 13:28 | 3432195 ekm
ekm's picture

The government owned securities market is just one presidential executive order away from a preplanned collapse, same as in 2008.

Wed, 04/10/2013 - 13:29 | 3432203 Bearwagon
Bearwagon's picture

To the choom-room!

Wed, 04/10/2013 - 14:34 | 3432596 Hal n back
Hal n back's picture

forget a presidential order. What if a couple of  foreign countiries decide tomorrow is the day. Come hell of high water to sell UST.

Wed, 04/10/2013 - 13:31 | 3432213 I Am Not a Copp...
I Am Not a Copper Top's picture

FWIW - Bitcoin crashing now.  Ok not really crashing.  After breaking above $250, it is now ready to plow through $200 on the downside.

 

http://bitcoinprices.com/realtime.aspx

 

Wed, 04/10/2013 - 13:45 | 3432226 Ahmeexnal
Ahmeexnal's picture

but...but...but BTC is cool!  Everyone on FaceBook says so!

 

There is some problems with bitcoin market services at the moment.

Sounds vaguely familiar.

As one of the buttcoin shills here pointed out in another post, cashing out of BTC is not easy. You need "approval" which takes some time. In the event of a wind down, expect those "approval times" to widen -except if you are one of the well connected.  That means that those ... sheep (for lack of a better term) who are now riding on the BTC crest will not be able to cash those gains when things get ugly (notice I said when, not if) and will be left holding the bag full of ratshit while someone else walks away with a big smile on their face (and a bag full of PMs).

 

UPDATE: BUTTCOIN NOW SOARING PAST $175

GO LONG SHEEP SHEARING SCISSORS

Wed, 04/10/2013 - 13:31 | 3432215 mdtrader
mdtrader's picture

It will end 1987 style.

Wed, 04/10/2013 - 13:33 | 3432225 gjp
gjp's picture

Absolute total central banker nirvana again today.  Gold crushed, bonds comatose at multi-month low yields, US dollar up, and stocks to the moon.  How do they do it again and again?  How do the bulls rampage through the china shop day after day without breaking a thing?

Only thing breaking is my sanity ...

Wed, 04/10/2013 - 13:44 | 3432258 Joe Davola
Joe Davola's picture

Meadowlark Lemon always kept 'em guessin' whether this would be the bucket with water not confetti.

Wed, 04/10/2013 - 13:50 | 3432291 yogibear
yogibear's picture

Soon the Fed will increase QE amounts. THey will take Krugman's idea that $85 billion/month is not enough. 

That should be fun for the debt junkies.

Wed, 04/10/2013 - 13:51 | 3432296 The Dancer
The Dancer's picture

Try jumping out of the box for a change...it may turn out that your box is in fact an insane asylum in disguise. Try seeing the puzzle as a giant Rubic Cube and keep trying to twist it a little each day until it starts making a reasonable design...that's what I do, anyway...and it's worked well for me...

Wed, 04/10/2013 - 16:00 | 3433271 WhiteNight123129
WhiteNight123129's picture

The reason bill gross buys TSYs is becaue he thinks Japanese are American people. Weird.

If you had a foreign bond falling for 10 years, and Gold rising in the meantime, then suddenly the bond falling for 10 years starts to tick up and the Gold keeps rising faster.

What do you buy, the the foreign bonds which has just ticked up or the Gold?

This is the position of Japan, they have seen TSY being a loser for 10 years, and Gold a winner and Gold keeps being a winner in Japan while the TSY have a blip.

It is not entirely clear that if you are Japanese you would chase TSY.

WHY DO YOU THINK SOGE and GOLMAN ARE TRYING TO PUMP DOWN GOLD?

THE LAST THING THEY WANT IS TO HAVE GOLD TRUMP THE YEN AND THE USD AT THE SAME TIME AGAIN.

 

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