The Fed essentially stood still today, pulling just $0.25 billion out of the market with an overnight repo of $6.25 billion against expirations of $6.5 billion. That left the repo auction stop out rate at 4.83. Meanwhile after rates soared 35 basis points at this week’s 4 week bill auction on Tuesday, T-bill rates today are collapsing in the secondary market, with 13 week bills down 25 basis points on the day at 1:30 PM. 10 year Treasury Note yields were also sharply lower. This looks like another flight to safety. Click here to download complete report in pdf format (Professional Edition Subscribers).Try the Professional Edition risk free for thirty days. If, within that time you don’t find the information useful, I will give you a full refund. It’s that simple. Click here for more information.
