Does a record treasury auction spell the end of this leg of the share market rally? Sometimes, if it quacks like a duck, it is a duck. Watch out Aussie dollar too if there is a 'flight to safety'.
'Treasuries rallied as a record $44 billion sale of two-year notes drew the strongest demand since the financial crisis began and a report showed confidence among U.S. consumers unexpectedly fell this month.
Two-year note yields declined as much as 10 basis points, the most on an intraday basis since June 9. The auction drew a bid-to-cover ratio, which gauges demand by comparing total bids with the amount of securities offered, of 3.63. '