There’s No Crying at a Treasury Auction
Crying Quote of the Day: “There’s a feeling I get when I look to the west, and my spirit is crying for leaving.” – Led Zeppelin
Did’ja Know: Even though rates have gone up since November they are still historically low as they hang out in the high 4s/ low 5s. But did’ja know that in 1982 a 30-year fixed was at 15%?! So let’s not complain that the low 4s are gone because life is still pretty darn good in the interest rate world. (Side note: Historians have tried to find correlation between that and the fact that ’82 was also the year I got a 15% on my Spanish final. Is there a connection? Yo no se, mis amigos.)
Get ‘Em While They’re Hot: The biggest events that can shape rates this week are today’s 10-year Treasury Note Auction and Thursday’s 30-year Treasury Bond Auction. A strong demand for these will lead to lower interest rates, although I’m not so sure our foreign investors will come thru for us like they have done in the past by purchasing these. Lately there have been fears of inflation creeping into the market which can cause investors of these bonds to shy away. So… be careful if you have not locked into your interest rate yet.
Crying Quote of the Day 2: “Are you crying? There’s no crying! There’s no crying in baseball!” – Jimmy Dugan (Tom Hanks), A League of Their Own (1992)
BTW…I could play the first five chords of Stairway to Heaven in 7th grade and that’s how I got my first girlfriend to fall for me.
Timeout for Trivia: Congrats to all of you who correctly guessed Good Will Hunting as the answer to last week’s question. Want to be entered into a drawing to win a Men at Work album I found in my garage? Simply email me the answer to this week’s Who Am I? question. Good luck: “It was on this date in 1989 that my single shot straight up to # 1 on the Billboard Top 40 and stayed there for 3 weeks. A year before I was just a nobody helping Tom hanks and his boss coordinate their moves on the giant keyboard. But look at me now: My success has been great even though people look at my erratic behavior and accuse me of being drunk or on drugs. I’m clean, people – so please don’t judge me because I wouldn’t judge you, would I?”