FOMC Minutes Today

Today's Fed buying is the same story all over again. 31B offered, the Fed only purchasing just shy of 3B in near term treasuries. Then comes 35B in a later auction today on the 3Y.

Between lukewarm TALF response and 30 year yields up to almost pre-QE announcement levels, I would not be surprised if during the next meeting Fed announced an increase in the QE program (lets flip a coin and say they double it to $600B). Furthermore, it would not surprise me if today's FOMC minutes include details of possibly larger treasury buying (in excess of 300B) in store, considering how massive deficit spending is this year.