WASHINGTON — The Treasury Department's August quarterly refunding of $78.0 billion will raise $39.8 billion new cash, Treasury announced Wednesday.
For August, the Treasury Department said it will sell $34 billion 3-year notes on August 7, $26 billion 10-year notes on August 8, and $18 billion 30-year bonds on August 9. These issues settle on August 15.
The Treasury it anticipated raising the sizes of the 2-year, 3-year, and 5-year notes by $1 billion per month over the next three months and the size of the next 2-year floating rate note auction by $1 billion.
Also, the size of the August 7-year, 10-year, and 30-year auctions will be raised by $1 billion each and the held steady through October. The sizes of TIPS auctions are not expected to change. It added that it may add a second new 5-year TIPS auction later in the year, but that is still under consideration.
Treasury also said it will begin selling 2-month bills weekly in October, at first auctioning on Tuesdays and settling on Thursday. These bills will settle on Tuesdays, making for a slightly shorter maturity.
Starting in December, the 2-month bills will be auctioned on Thursdays and settle on Tuesdays, with the maturity on Tuesdays.
Starting in November, the weekly 4-week bills will be reopenings of the 2-month bills. To facilitate this change, the four-week bills will also switch to a schedule of Thursday auctions and Tuesday settlements starting in December. Their maturity dates will be on Tuesdays starting in November, making the 4-week bills sold during November slightly shorter than the usual 28-day duration.
No changes are expected to the schedule of auctions for the 3-month, 6-month, and 52-week bills.
