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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?


To: TH who wrote (283266)10/13/2010 11:27:08 PM
From: Giordano BrunoRead Replies (1) | Respond to of 306849
 
US Treasury auctions lose traction with foreign buyers

The international capital markets indicate that the once popular US debt paper is no longer the darling among available government backed paper and institutional investors seem to prefer euro or yen denominated paper instead.

A second factor that plays a role is the eternal question about the current AAA rating the US Treasury enjoys, courtesy of Moody’s, S&P and Fitch, and whether US Treasuries should not be downgraded in light of the debt/GDP ratio and the reoccurring budget deficits.

Whichever the case or reason may be, the US Treasury is in need of new buyers if it wishes to continue their monthly refinancing rounds at the current speed.

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