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BMO's Ian Lyngen quipped about.....>

US TSYS/RESEARCH
US TSYS/RESEARCH: BMO's Ian Lyngen quipped about the "Ultra Bomb" i.e., the
Ultra Long Bond idea floated by Tsy in recent months but not touched on in
today's initial Aug. refunding news. "There are times when it's what's left
unsaid that matters the most, and today proved to be one of those instances,"
Lyngen said. "The Treasury Department's refunding announcement offered very
little new information on the potential for an ultra-long bond, adding only that
they are still 'studying the matter. It wasn't especially surprising that the
decision has been put off until later this year; the debt-ceiling issue is an
obvious hindrance to the introduction of a new benchmark. The Treasury
Department did at least hint that the increased borrowing as a result of SOMA
rollover would be "addressed by increasing issuance in bills and a broader set
of coupons," but that wasn't really helpful in the traditional sense."

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