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MNI BRIEF: US Announces Another Reduction In Debt Sales


The U.S. Treasury on Wednesday announced its fourth consecutive reduction in its quarterly sales of longer-term debt as borrowing needs diminished and signaled a pause going forward.

The department said it it will issue USD98 billion of securities at next week's quarterly refunding, raising USD43.9 billion in new cash.

Officials say they plan to sell USD42 billion in 3-year notes on Aug. 9, USD35 billion in 10-year notes on Aug. 10, and USD21 billion in 30-year bonds on Aug. 11.

Over the next three months, changes in nominal coupon auction sizes announced Wednesday will result in a USD51 billion reduction of issuance. "Treasury believes these reductions announced today leave Treasury well-positioned to address potential changes to the fiscal outlook," the agency said in a statement.

The Treasury Department also expects the supply of bills outstanding in mid-July will represent the lowest point for the calendar year and said bills outstanding will increase by nearly USD100 billion over the remainder of the current calendar quarter.

Anticipated Auction Sizes For August-October(billions USD)

Source: Treasury Department

MNI Washington Bureau | +1 202-371-2121 |
MNI Washington Bureau | +1 202-371-2121 |

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