[blam]

If I understand this correctly, the people who control billions of dollars think that parking this money with the government (with zero interest) is safer today than exposing it to the forces of the free market.

I wonder what's scaring them?

Ideas?

[misterrob]

No one is willing to buy at the long end....

[GeronL]

Gee, because the government is at war against the private sector?

[RSmithOpt]

A enormous flashing white flag waving with the surrenderer on his knees with his head buried past his shoulders in the sand and his bare backside showing?

[Toddsterpatriot]

Where do you put $10 billion with no risk?

Can't put it in the bank, what if it fails? You're only protected up to $250,000.

Buy commercial paper? Lehman showed that's not safe either.

[ml/nj]

For the fourth time in a row, the Treasury has sold off short-term bills bearing no yields at all.

This has to be a scam.

I cannot see any reason to exchange paper negotiable now for paper not negotiable until three months from now, without any compensation.

UNLESS you happen to be the Federal Reserve and you are merely exchanging I-O-MEs with the Treasury.

ML/NJ

[Lockbox]

Hello, did they sell at a discount? Nice trick if that happened, then the press can write the story of zero interest.............

[ml/nj]

Sorry. One month, not three. I didn't know the Treasury was selling 30-day paper.

ML/NJ

[<1/1,000,000th%]

I know it has nothing to do with the Obama Panic. ;)

[RinaseaofDs]

Too bad they didn’t disclose the buyers. That would provide some measure of explanation.

[fight_truth_decay]

see chart

http://www.marketwatch.com/story/treasurys-up-on-budget-freeze-plan-2010-01-26..will help understand.

Perhaps read deeper into your story with inserted links to understand more fully.

Traders Snap Up 5-Year Notes For Just 2.665% Despite Record Auction Size.

Even if called you are guaranteed growth if only short term. Something is better than nothing and not at risk. Could change in 6 months, may be another year.

Bonds had been higher earlier in the session, pushing yields down towards the lowest level in more than a month, on reports President Obama will propose a spending freeze for some federal departments.

Yields on 10-year notes (UST10Y 3.61, -0.01, -0.28%) rose 1 basis points to 3.63%. Yields move inversely to prices. A basis point is 0.01 percentage point.

Long term is ideal but the ideal time is not always at the moment "so park" then "ride later" when the climate is more ideal

This is why one has a financial advisor and long term relationship (as well) with a strong investment company that has always made you money, except in my case last year, back to earnings again "diversified". Also regained my "crash" losses by "my people" restructuring investments.

I can say I have been very satisfied considering the financial times we are in.

I only wish that those who are talking heads in the media, could be as financially informed as they are on other government issues. Listeners think of them as "know all to end all"..I listen to those I admire on other topics but must scare the Be_Jeezus out of the public without expert professionals to guide them. That's why some of these pundits are still depending on a pay check, and I am not.