- No surprises in coupon sizes in U.S. Treasury's May refunding announcement and Treasury said it will handle deviations via bills and/or CMBs. "Based on current projected borrowing needs, Treasury does not anticipate needing to increase nominal coupon or FRN auction sizes for at least the next several quarters."
- Incremental increases to TIPS auction sizes to maintain a stable share of TIPS as a percentage of total marketable debt outstanding.
- 6-week CMB will become a benchmark bill, to be implemented over coming quarters.
- Buyback program is launched with a tentative schedule and first operation May 29.
- Weekly liquidity support buybacks of up to USD2 billion per operation in nominal coupon securities and up to USD500 million per operation in TIPS.
- In each operation, Treasury will seek offers for no more than 20 CUSIPs due to temporary settlement process limitations. The cap will be removed once the limitations are addressed and will move toward operation sizes consistent with previous guidance (e.g., maximum of USD30 billion per quarter across buckets for liquidity support). Treasury will provide an update on the transition at the next refunding.
- No planned cash management buybacks for the May to July quarter. They may begin later in 2024 depending on fiscal flows and market conditions.
- Weekly liquidity support buybacks of up to USD2 billion per operation in nominal coupon securities and up to USD500 million per operation in TIPS.
