U.S. Treasury Selling $175.0 Billion of New Debt
T-Bills Sale Schedule Announced
From August 22–26, the U.S. Treasury Department will auction off $175.0 billion worth of government bonds. Although the notes will be of varying maturities, they will all be available in minimum denominations of $100.00.
Roughly $122.0 billion of the securities will be fresh debt, but $53.0 billion of the offering will come from previously issued notes. There will be four separate auctions taking place between Monday and Thursday, with the details listed below (all times are Eastern Standard Time):
Monday: The first auction will deal with $40.0 billion of 13-week bills. It is a reopening of an issue first sold on May 26, 2016. The Committee on Uniform Security Identification Procedures (CUSIP) number is 912796JV2.
The Treasury will also be offering a fresh batch of 26-week bills, which will mature on February 23, 2017. The CUSIP number for these bills is 912796KJ7. Bear in mind that non-competitive bids for both offerings should be submitted by 11 a.m, while competitive bids can be submitted until 11:30 a.m.
Tuesday: Two-year notes will be issued on Tuesday. Markets will keep a close eye on this $26.0-billion offering to see how the recently released Federal Reserve minutes are impacting short-term debt. These bills are set to mature on August 31, 2018.
The CUSIP number is 9128282C3. Investors must submit non-competitive bids by noon, unless they wish to enter the competitive auction, in which case the deadline is 1 p.m.
Wednesday: Perhaps because of the uncertainty around future interest rates, the Treasury Department is also issuing $13.0 billion worth of one-year, 11-month notes that come with a floating interest rate of 0.174%. This reopened issue was initially sold on August 1, which is why it matures on July 31, 2018. The CUSIP number is 912828S84.
Investors should have their non-competitive bids in by 11 a.m. on the day of the sale, or else by 11:30 a.m. for the competitive auction.
There will also be $34.0 billion worth of five-year notes up for sale on Wednesday. They are being sold under the CUSIP ID 9128282F6 and will mature on August 31, 2021. The non-competitive bids are due at noon, while the competitive tenders are due an hour later.
Thursday: On the final day of this sale, investors will get a chance at a primary offering of $28.0 billion worth of seven-year bills. These medium term T-bills come due on August 31, 2023 and can be found using the CUSIP number 9128282D1.
Bear in mind that non-competitive tenders should be in by noon on Thursday, while competitive bids have until 1 p.m.