Treasury Increases Auction Sizes To Fund Soaring Deficit; Launches 2-Month Bill

While traditionally a snoozer, this morning's Treasury's refunding announcement was closely watched for details on how the US Treasury's plans to fund its soaring budget deficit in the coming quarters, shortly after it announced it had sold a near record $488BN in debtin the last quarter. Specifically, bond traders were looking at how much upcoming auctions would increase by, and whether the Treasury would also introduce a 2 Month bill auction as some strategists had expected.