Apparently now buyers don't even want that 13 cents!
ROFLMAO!!!!
Published on CNBC news: Treasury Yield Falls to Zero As Investors Seek Safety
Some comments from that article:
- The U.S. Treasury Department said it sold four-week bills at a high rate of 0.000 percent, a level never before seen, in a $30 billion auction.
When Treasury bill rates turn negative it shows that investors are so concerned about the safety of other assets that they are willing to effectively pay the U.S. government a fee to look after their money.
LOL! The US Treasury is getting money for nothing!!! ( I wonder if the chicks are free? )
- "There is just a continuing flight to safety with money that needs to be invested," said Lou Brien, a market strategist with DRW Trading Group in Chicago. "Money funds want it to be invested rather than under the mattress, which is continuing to push rates lower."
Money that needs to be invested????
Comeon.... if you get ZERO returns for your money, would you call that investing?
I wonder...
- "There's still a ton of fear," said Joe Saluzzi, co-manager of trading at Themis Trading in Chatham, New Jersey. "People are now paying the government to take their money. Something is wrong."
Still, "for the Treasury, it's great financing," said Rudy Narvas, senior strategist at 4Cast Ltd in New York. "For everyone, it's not a good sign that things will get better ...That's fool optimism.A quick recovery is not going to happen."
- The Treasury sold $27 billion of three-month bills yesterday at a discount rate of 0.005 percent, the lowest since it starting auctioning the securities in 1929. The U.S. also sold $30 billion of four-week bills today at zero percent for the first time since it began selling the debt in 2001.
Doh! Doh! Doh!
http://www.google.com/hostednews/afp/article/ALeqM5gh-KPe4a_9emscqzapOhru67oMOA
ReplyDeleteThe yield on the three-month T-bill fell as low as negative 0.051 percent around 1500 GMT, and three hours later stood at negative 0.001 percent.
NEGATIVE RETURNS!!!
At 3pm, people were paying $100,051 to get $100,000 in 3 months time!
Even WORSE than hiding money under your mattress.
WHY??? Evidently the buyers were international banks! ... Just what sort of hiring policies are these idiot bank managers following?
Are they really forecasting... moo, you been saying it's a race for interest rates to go to 0... it looks like the "smart money" is forecasting rates to go negative within 1-2 months?