So the latest 12 month T-Bill auction results are out. In the weekend article I predicted an indicative range of 3.9% – 4.1%, but I flagged that it was likely to come in on the lower end of this range (and possibly undershoot). That turned out to be the right call, because the 12 month T-Bills came in with a final cut-off yield of 3.87%. 26 January 2023 12 month T-Bills Auction Results Diving into the numbers. The auction received $10.5 billion in applications (2.91 times covered). This is quite a bit lower than the most recent 6 month T-Bills auction, which came in at $13.06 billion in applications. Whether it’s due to the Chinese New Year break or expectations of lower yields, application interest seems to be slowing. That said, the $10.5 billion in applications is comfortably above the previous 12 month T-Bills auction (October 2022), which only received $8.5 billion in applications. I suppose the takeaway is that T-Bills interest is dying down compared to the past...