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Old 10-01-2022, 06:05 AM   #421
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What would you do?
Buy 1 yr T-Bill at auction on Tuesday, buy the the 4.34% 1 year T-Bill that Schwab has available on their offerings page, or buy 14 month Schlumberger bond (Moody's A-2) with YTM of 4.861%
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Old 10-01-2022, 06:33 AM   #422
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Buying a 26-week tbill at auction each week.
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Old 10-01-2022, 07:12 AM   #423
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I had originally planned to do 13 week, but switched to 26 week because the spread has widened and 6 month is close to 1 year in yield.
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Old 10-01-2022, 07:19 AM   #424
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I had originally planned to do 13 week, but switched to 26 week because the spread has widened and 6 month is close to 1 year in yield.
Do you prefer to buy at auction or not?
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Old 10-01-2022, 07:26 AM   #425
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Do you prefer to buy at auction or not?
Auction is a piece of cake and can order ahead anytime after announcement, so I do it that way.
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Old 10-01-2022, 07:52 AM   #426
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I am purchasing 13 & 26 week bills each week but very tempted by the 52 week also. Last week's 2 year note was hard to pass up. We do not need the money in the near term so I probably should be searching for higher rate, longer term but just like the ease and flexibility of the shorter T-Bills right now.
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Old 10-01-2022, 09:10 AM   #427
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I am purchasing 13 & 26 week bills each week but very tempted by the 52 week also. Last week's 2 year note was hard to pass up. We do not need the money in the near term so I probably should be searching for higher rate, longer term but just like the ease and flexibility of the shorter T-Bills right now.
I think buying shorter for now is a good idea. Go longer when rates stabilize. 93% of my T-Bill holdings have been 26 week bills bought in the last 30 days. I will probably ladder with longer Treasuries when rates stabilize. FWIW
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Old 10-01-2022, 10:59 AM   #428
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Yep, buying some 13 weeks because they come due early January. but, I've been spending like a drunken sailor on T bills.

I just had a CD mature, so am trying not to spend it in one gulp.
Marie, I remember you said you wished you could have pick up some Apple stock when it was much lower earlier this year. If you keep watching it, you will have another opportunity soon.
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Bill vs Notes - YTM
Old 10-03-2022, 07:57 AM   #429
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Bill vs Notes - YTM

Hi all,

Looking at what is available on the secondary market (on Vanguard), it looks like YTM of Notes is consistently a little higher than Bills of the same maturity.

Is there some reason for this?

Thanks,
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Old 10-03-2022, 09:16 AM   #430
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Hi all,

Looking at what is available on the secondary market (on Vanguard), it looks like YTM of Notes is consistently a little higher than Bills of the same maturity.

Is there some reason for this?

Thanks,
The notes will pay a coupon if there is over 6 months to maturity, so maybe that makes them more attractive to some buyers. Just a guess.
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Old 10-03-2022, 09:46 AM   #431
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T-Bills auction results out for 13 and 26 weeks. Quoted are "Investment Rate"

13 wk: 3.415% (up 7bp from last week)
26 wk: 3.981% (flat from last week)

Interestingly, last week the 13 was flat and the 26 saw a good rise. This week the results are flipped.

Tomorrow's 52 wk should be interesting.
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Old 10-03-2022, 11:07 AM   #432
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T-Bills auction results out for 13 and 26 weeks. Quoted are "Investment Rate"

13 wk: 3.415% (up 7bp from last week)
26 wk: 3.981% (flat from last week)

Interestingly, last week the 13 was flat and the 26 saw a good rise. This week the results are flipped.

Tomorrow's 52 wk should be interesting.
I randomly (i.e. w/o skill) picked this one correctly as I switched from buying the 26-week one to the 13-week one over the weekend. I would have said it was skill, but it was more trying to fill a hole in my short term ladder.

That 3.415% is surprisingly high.

ETA: My type-A have-to-track personality: I'm now sitting with a weighted 3.35% YTM and weighted 127 days to maturity.
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Old 10-03-2022, 01:53 PM   #433
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I'm hoping it's ok to bring up Agencies on this string. I just noticed this offering on fido.

FEDERAL HOME LOAN BASER 5R-9025
4.67000% 09/30/2025

I'm familiar with Federal Home Loan Bank issues. I can't figure out what the phrase Baser as opposed to Bank means. Googling yielded zip. Does anyone have any insight? Also I'm assuming this is tax free at the State level. Does anyone have any info to the contrary?

We have a CD coming due Saturday that I want to reinvest in the 3 year range. This seemed better than CD rates, especially when factoring in the State tax free status. Thoughts?
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Old 10-03-2022, 02:36 PM   #434
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I've got a question about taxes on Treasuries. If you buy a Treasury Note on the secondary market and part of your returns are based on interest and part on the discount, does it make any difference regarding whether they are subject to state income tax?
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Old 10-03-2022, 02:48 PM   #435
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Marie, I remember you said you wished you could have pick up some Apple stock when it was much lower earlier this year. If you keep watching it, you will have another opportunity soon.
Ah, well, yes, but not today.
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Old 10-03-2022, 02:53 PM   #436
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Ah, well, yes, but not today.
Haha!
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Old 10-03-2022, 02:54 PM   #437
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I'm hoping it's ok to bring up Agencies on this string. I just noticed this offering on fido.

FEDERAL HOME LOAN BASER 5R-9025
4.67000% 09/30/2025

I'm familiar with Federal Home Loan Bank issues. I can't figure out what the phrase Baser as opposed to Bank means. Googling yielded zip. Does anyone have any insight? Also I'm assuming this is tax free at the State level. Does anyone have any info to the contrary?

We have a CD coming due Saturday that I want to reinvest in the 3 year range. This seemed better than CD rates, especially when factoring in the State tax free status. Thoughts?
Could be an abbreviation of BA (bank) SER (serial number).
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Old 10-03-2022, 03:21 PM   #438
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Could be an abbreviation of BA (bank) SER (serial number).
That makes sense. Unfortunately, I realized after I posted the question that the issue is not call protected. I don't think the extra yield is worth the risk of call. This would be part of our 5 year CD ladder, although I don't actually care if the ladder is made up of CD's or Treasuries. The ladder shortened over the last several years as I added the maturing CD's in 2 different years to a GTE add on that now comes due next summer. At that point I'll have maturing funds that need to be reinvested in 3 different years to re-establish the 5 year ladder. I keep a close eye on rates to calculate whether I should break that CD early.
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Old 10-03-2022, 03:52 PM   #439
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Haha!
Shhhhh, it's a secret but I have a limit order in for $120. (Needless to say, it hasn't executed. )
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Old 10-03-2022, 07:26 PM   #440
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T-Bills auction results out for 13 and 26 weeks. Quoted are "Investment Rate"

13 wk: 3.415% (up 7bp from last week)
26 wk: 3.981% (flat from last week)

Interestingly, last week the 13 was flat and the 26 saw a good rise. This week the results are flipped.

Tomorrow's 52 wk should be interesting.
Is the Investment Rate what we get when we bought the 13 week today? I ask cuz there are 4 different rates on that PDF.

Is there a link for TD that shows this info that is on a table vs a PDF?
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