Posted on 03/02/2010 1:54:13 PM PST by Cheap_Hessian
* 76.46% allotted at high 0.08%
* Median rate at 0.07%, low rate no longer 0.000% - now 0.04%
* WI was bid at 0.08% at 11:30 - auction came exactly at price expected
* Bid to Cover: 4.34, last week at 3.82
* Primary dealer bid: record $115.89 billion
* Primary dealer hit ratio: 19.47%
* Indirect hit ratio: 80%
* Primary dealer take down at record high for 2010: 73.4%, compared to average 61.05%
* Indirect take down at record low for 2010: 17.9%, compared to average 30.97%
Comparing the Primary Dealer and Indirect Participation demonstrates that PDs now singlehandedly control the 1 month Bill auction. Indirect take down has dropped to a 2010 low level at 17.9%, while PD take down has surged to a high of 73.4%.
What if they held an auction and nobody came?
I think he’s trying to say the Fed is buying for itself. The chicoms, Japanese, offshore centers, etc. aren’t playing ball.
That’s what Primary Dealers are for - so that doesn’t happen.
Exactly.
Bookmarked for Later.
Uhh, I’m pretty good with Stocks, but what’s the WalMart version of this? :)
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