4 Comments

Wow...a quite a newsletter....Amazing work !!!

I heard the US Treasury is auctioning 330B in T-Bill per week and

that going to 370B, by Y/E........Holy Crow !!!! It's CRAZY !!!

The US Gov't has got Debt and Interest coming out their.............

Those GDP/GDI revisions will be interesting...

I don't think the Econ Numbers will help the Bond Bulls.......more pain to come for them.

Rates haven't peaked..........need a Recession, to stop this Train

Great Work !!!!!

Expand full comment

Now isn't he a handsome fella, and a good boy too!

Is today the calm before the last trading day of Q3? Gold getting hammered, yields-dollar up strongly indicates a dollar shortage out there somewhere (China?). I heard a podcaster say that the potential Gov shutdown causes or creates a dollar shortage. I don't understand the WHY though, does the Treasury stop issuing bills/notes during a gov shutdown? OUTSTANDING work big guy many thanks!

Expand full comment
author

Excerpt from ING,

“ The government shutdown that we are talking about here is different, at least in terms of its impact on Treasuries. The Treasury can continue to issue debt to raise cash, so there is no risk to the payment of interest or redemption payments on government debt. Hence there is no risk of default on the debt. The important nuance here is the Treasury has the cash. It’s just that they don’t have a legal right to spend it beyond the end of September. ”

Link

https://think.ing.com/amp/article/us-government-shutdown-makes-it-likely-the-fed-is-finished-hiking/

Expand full comment

Hey thanks I hadn't seen that legality issue about Spending the cash. Now it makes much more sense. I was on the right track I think. Legalities are no constraint for Brandon Problem solved! Thanks again!

Expand full comment