Recently, the United States held a 30-year termU.S. TreasuriesThe auction was cold, resulting in "no risk."Investmentsproducts".U.S. TreasuriesThe myth is gradually shattered. At auction, 30 yearsU.S. TreasuriesThe tail of the bodySpreadsThe all-time record was set at 53 basis points, showing the market for buyingU.S. TreasuriesMotivation has dropped dramatically. This situation is not only exposedU.S. TreasuriesLiquiditynervous, and it sparked a lot of concernU.S. TreasuriesConcerns about imbalances between supply and demand. This article will describe this incident in detail, as well as the reasons behind it and the possible implications.
On October 12, the U.S. Treasury Department held its 30-year termU.S. Treasuriesauction, but there was an unexpected situation. In the auction, there are 18The 2% of the issued shares were unclaimed and could only be taken over by primary dealers. This time for a 30-year periodU.S. TreasuriesThe auction situation was even worse, although the bid was wonInterest ratesThis is a decrease from the last time, but it is still 247% of the shares were not bought. In terms of both domestic and overseas demand, the allocation ratio has hit a record low, showing that it is forU.S. Treasuriesdemand for a significant downward trend.
Behind this auction situation, not only reflectsLiquidityThe nervous question also reveals concerns about the US fiscal situation. In recent years, the United StatesFiscal deficitsRising and the contradiction between fiscal revenue and expenditure is intensifyingU.S. TreasuriesRapid growth in scale. However, withU.S. TreasuriesThe scale of the expansion, itsInterest ratesAlso on the rise, makeInvestmentsforU.S. Treasuries's worries are deepening. U.S. TreasuriesAs once "risk-free."Investmentsproducts", stable income,LiquidityHigh, favored by the market. However, withU.S. TreasuriesThe market is oversuppliedInvestmentsbegan to worry about its future returns and security.
In the past,Investmentsis optimisticU.S. TreasuriesMainly because of itsLiquidityHigh and security is good in holdingU.S. TreasuriesAt the same time, you can also gain a certain amountInterestRequite. However, withU.S. TreasuriesThe scale is constantly increasingUnited States**The need to borrow is also becoming more urgent. However, the current market demand is relatively low, both at home and abroadInvestmentsforU.S. Treasuriesof the willingness to hold has generally declined.
DomesticInvestmentsIn terms of bidders, the institutions directly involved in the bidding include:Hedging**Pension**, commons, insurance companies, banks, institutions and individuals, they received only 1516%, the lowest level in recent years. OverseasInvestmentsIn terms of institutions, including foreign central banks and other institutions, the proportion of the placement obtained this time is 601%, which is also lower than the average of the last six auctions. It can be seen that both domestic and foreign, forU.S. Treasuriesdemand is declining, so thatU.S. TreasuriesOversupply,Investmentsbegan to retreat in large numbers.
This phenomenon of retreat does not only directly affectU.S. Treasuriesmarket, tooU.S. stocksThere was a negative impact. The most recent auction was cold and immediately triggeredU.S. stocksThe dive of the three major stock indexes reversed the longest winning streak in two years, showing a decline of nearly 1%. Again, this showsInvestmentsforU.S. TreasuriesThe concern gradually increases, rightUnited States**There is growing dissatisfaction with the borrowing behaviour taken.
AlthoughU.S. TreasuriesAs "risk-freeInvestmentsThe myth of "products" has not been completely dispelled, but the risk of holding it is gradually increasing. On the one hand,U.S. TreasuriesThe scale continues to expand, leading toInvestmentsforU.S. Treasuries's worries are deepening. Especially against the backdrop of the dire fiscal situation in the United States, the massive borrowing has made people interested inU.S. TreasuriesConcerns about supply-demand imbalances have intensified. On the other hand,U.S. TreasuriesThe relationship between supply and demand has shiftedInvestmentsbegan to retreat in large numbers. In this case, the United States will continue to find a receiverU.S. TreasuriesIf you take over, you have to further improveU.S. Treasuriesto increase its ** force.
However, judging by the situation of the most recent auction, thoughU.S. TreasuriesInterest ratesup, but there is still a large share of no one buying, showing that people are interested inU.S. TreasuriesThe concerns cannot be ignored. In the future,U.S. TreasuriesAs the scale continues to increase, the United States will face greater challenges, including higherInterestThe problem of payment and making it harder to find a taker. It also means that the market is forU.S. TreasuriesThe supply and demand relationship will continue to be tight, which could have a significant impact on the entire financial market.
The recently held 30-year termU.S. TreasuriesThe auction is cold, the tailSpreadsSet an all-time record and show the market's appetite for buyingU.S. TreasuriesMotivation has dropped dramatically. This phenomenon not only reflectsU.S. TreasuriesLiquidityThe nervous question also reveals concerns about the US fiscal situation. Due toU.S. TreasuriesThe scale continues to increaseInvestmentsConcerns about its future returns and security have deepened, leading to a shift in supply and demandInvestmentsThe retreat was carried out. This makes the United States want to continue to work forU.S. TreasuriesFinding a receiver becomes difficult in the futureU.S. TreasuriesThere are even greater challenges. This also means that it could have a significant impact on the financial markets as a whole.