U.S. Treasury Auction Sizes Expected to Remain Unchanged

U.S. Treasury investors are closely monitoring the quarterly refinancing announcement set for Wednesday. According to Jin10, Barclays rate strategists have indicated in a report that the Treasury Department is expected to maintain the current size of its bill and bond auctions this quarter. The department is likely to reaffirm its guidance that nominal bond and floating rate note auction sizes will remain unchanged for at least the next few quarters. Strategists also anticipate that the auction size for inflation-protected bonds will stay stable. They noted, "We will focus on whether the Treasury will reintroduce forward guidance regarding its expected market share."