Treas. Sec Yellen in testimony to Senate Appropriations Committee:

  • The treasury never tries to time market in debt management
  • Issuance of treasury bills is in line with historical averages.
  • We have seen an increase in exports to Russian from China, including dual use goods that can be used to aid Russia's military
  • US need to coordinate Russia sanctions efforts with allies.
  • US is continuing to take sanctions against Iran. It is difficult for sanctions to curb shadown fleet of oil tankers.
  • Market participants believe that short term rates will come down
  • SHort term bill issuance is in line with recommendations from Treasury Borrowing committee
  • This is nothing about issuing short term debt, that creates a sugar high for the economy