Welcome to European Tribune. It's gone a bit quiet around here these days, but it's still going.
Display:
The least "weird" would be 10 year premium notes with 100% coupon rates. After all, selling securities at par or discount to face value is just a Treasury rule, and even if the market punished them and bought them at 5% yield, $1,000 face value 100% coupon notes would have a value of $8,300, so rolling over $8,000 in maturing bills with 100% coupon 10yr note would reduce the debt ceiling by $7,000.

I've been accused of being a Marxist, yet while Harpo's my favourite, it's Groucho I'm always quoting. Odd, that.
by BruceMcF (agila61 at netscape dot net) on Tue Oct 15th, 2013 at 09:16:44 AM EST
[ Parent ]

Others have rated this comment as follows:

Display:

Occasional Series