US Treasury Auctions - Part 2

More jitters in the markets again next week?

On August 9, I posted a blog titled US Treasury Auctions (view it by clicking the link). In that post I stated I had noticed a pattern where-by when the Treasury were auctioning longer term bonds and notes, news was released that created jitters and negative sentiment in global stock markets and at the same time suggested that money was fleeing to the save haven of US Treasuries. It's worth clicking the link to view the previous post if you missed it.

So further to that post I'd like to show you two things. 

First here is a copy of the Treasury Bond Auctions for the week ending 14 August . Click for a larger view

From The Economystic Times

Note the long term bonds being auctioned on the 10th, 11th and 12th of August?

Now compare that to this chart of Wall Street Cash (a CFD futures chart). Click for a larger view

From The Economystic Times

See the arrows? 

They highlight the dates 10th, 11th and 12th of August and show that the market fell corresponding to the longer term treasury auction dates.

What does it all mean?

Well now have a look at the US Treasury Bond auctions for next week. Click for a larger view

From The Economystic Times

I'm going to guess again this coming week that some sort of news is going to be released that will give global markets the jitters and send money fleeing to the safety of US Treasury bonds and notes perfectly timed with the auctions. I could be wrong, but based on the auctions and what I've noticed in the past we could see the market fall on the 23rd, 24th, 25th and 26th of August.

As always do your own research and back-checking before making any investment decisions. You can find the Upcoming Treasury Auctions on this page http://www.treasurydirect.gov/RI/OFAnnce


Update: 20 August 10.30am New York Time


The "Flight to safety of US Treasuries" stories and headlines have started

Check out this link from Reuters - Investors dumped risky assets on Friday and fled into bonds and safe-haven assets
and this from the folks at Bloomberg - Treasuries Rise, Stocks Fall on Economy

Update: September 8

I thought I'd ad this chart of the S&P500 futures with the yellow arrows indicating the market falling over the course of the bond auction days as I had predicted above.