In the last Treasury Supply update for subscribers I warned that the Treasury could do a big T- bill paydown at mid month, but that it was not certain. It would be short term bullish if it does. There’s a complete discussion of the implications of that in that report, with more to follow in the next update.
Today, the Treasury confirmed that it will do a $60 billion T-bill paydown on September 15. That’s enough to fund almost the entire coupon issue the same day.