In my weekend article, I predicted that 6-month T-Bills would continue their downtrend due to market expectations over interest rate cuts. And while I was correct on the trend. I was wildly incorrect on the magnitude of the move. Because while I estimated a range of 3.55% – 3.65% on the 6-month T-Bills auction. The final cut-off yield came in way below that at 3.40%. While demand soars to a record high of $18 billion, far higher than any other auction we saw this cycle. Let’s take a closer look at the numbers. 6-month T-Bills yields drop to 3.40% (BS24115A 6-Month T-bill) You can see the cut-off yield for the latest T-Bills auction below. At 3.40%, this is a huge drop from the 3.64% we saw at the previous auction. T-Bills cut-off yields since Jan 2023 are charted below. You can see how the massive drop in yields to 3.40% takes T-Bills yields to the lowest in the past 18 months....