8-week t-bill debuts tomorrow 10/16

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MnD
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8-week t-bill debuts tomorrow 10/16

Post by MnD » Mon Oct 15, 2018 3:43 pm

The 8-week placeholder has been added to the Treasury yield curve tables.
Seems like an odd addition. Maybe a good core holding for money-market funds to stay under 60 days?

Effective Tuesday, October 16, 2018, with the inaugural auction of the new benchmark 8-week Treasury bill, Treasury plans to include 8-week bill rates in its input data set for the daily Treasury yield curve. Treasury also plans to add a 2-month CMT to the Daily Treasury Yield Curve Rates and 8-week bill rates to the Daily Treasury Bill Rates that it publishes. Changes to the published tables and data files to accommodate the additional rates will appear beginning in the evening of October 14, 2018.

https://www.treasury.gov/resource-cente ... data=yield

Angst
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Re: 8-week t-bill debuts tomorrow 10/16

Post by Angst » Tue Oct 16, 2018 6:26 pm

Well, what do you know. I just noticed this while looking at today's yield curve. It shouldn't affect me, but for anyone who's taken up rolling their own personal Treasury MM Fund I suppose things just got a bit easier.

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Doc
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Re: 8-week t-bill debuts tomorrow 10/16

Post by Doc » Wed Oct 17, 2018 2:45 pm

Damn. I have a spreadsheet to calculate roll down yields from the Treasury yield curve data. I just copy and paste directly form their data. Now it's going to have an extra data point and it will cause my spreadsheet to hiccough. :oops:

Thanks for the warning.
A scientist looks for THE answer to a problem, an engineer looks for AN answer and lawyers ONLY have opinions. Investing is not a science.

ThrustVectoring
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Re: 8-week t-bill debuts tomorrow 10/16

Post by ThrustVectoring » Thu Oct 18, 2018 12:49 pm

That's a nice small bonus to folks putting cash into a short-term treasury bill ladder. You can pick up a tiny bit more yield and convenience when turning a pile of cash into staggered 3mo or 6mo bills - for buying the 3mo bill in two months, you can pick up a single 2mo bill instead of chaining together two 1mo bill purchases.
Current portfolio: 60% VTI / 40% VXUS

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welderwannabe
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Re: 8-week t-bill debuts tomorrow 10/16

Post by welderwannabe » Sat Nov 10, 2018 9:42 pm

Yup, I think it plugs a hole. I like it. I am sure MM funds will like it too.

I hate 28 day bills mainly because the announcement is on Monday and the auction Tuesday giving you about 24 hours to place the order. Looks like the 2 month bill's announcement date is the same as 3 month bills (The friday before the auction) allowing me to place my order Friday->Monday.
I am not an investment professional, but I did stay at a Holiday Inn Express last night.

Lyrrad
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Re: 8-week t-bill debuts tomorrow 10/16

Post by Lyrrad » Sat Nov 10, 2018 10:12 pm

welderwannabe wrote:
Sat Nov 10, 2018 9:42 pm
I hate 28 day bills mainly because the announcement is on Monday and the auction Tuesday giving you about 24 hours to place the order. Looks like the 2 month bill's announcement date is the same as 3 month bills (The friday before the auction) allowing me to place my order Friday->Monday.
Note that next month, the 4 and 8 week bills will be moving to Tuesday announcement, Thursday auction, and Tuesday settlement dates. It looks like the 13, 26, and 52 week bill schedule will remain the same.

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welderwannabe
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Re: 8-week t-bill debuts tomorrow 10/16

Post by welderwannabe » Sun Nov 11, 2018 6:52 am

Lyrrad wrote:
Sat Nov 10, 2018 10:12 pm
Note that next month, the 4 and 8 week bills will be moving to Tuesday announcement, Thursday auction, and Tuesday settlement dates. It looks like the 13, 26, and 52 week bill schedule will remain the same.
Hadn't seen that. Thanks.

That schedule is better than Monday into Tuesday I suppose.
I am not an investment professional, but I did stay at a Holiday Inn Express last night.

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