Here’s a link to various articles on the Fed’s ‘after buy’ of 7-Yr notes:
http://wallstreetblips.dailyradar.com/story/7_year_the_fed_buys_last_weeks_treasury_notes_aug_6/
(Link to Denninger’s articled at this link, too, on inherent monetization going on)
Your link and the links to related articles are a MUST READ for anybody attempting to keep up with the federale's knife juggling act. However, this is not sitting down at the kitchen table to balance the checkbook, and not easily followed by most, including myself. And even though most of the financial pundits agree there is some slight-of-hand at the fed and treasury, there's not complete agreement on that even.
Simply amazing stuff though!