On Friday The Debt Ceiling Returns, And The Treasury Runs Out Of Cash 6 Months Later

• On Friday The Debt Ceiling Returns, And The Treasury Runs Out Of Cash 6 Months Later
  by Tyler Durden, https://www.zerohedge.com/
  While president Trump may have postponed one of the two major events scheduled to hit this Friday, March 1, the second one is still set to proceed as scheduled: that’s when the US debt limit suspension expires and the US debt ceiling will again return (incidentally the current debt ceiling was suspended when total debt was $1.5 trillion lower!), prompting Treasury Secretary Steven Mnuchin to draw upon extraordinary measures to keep the government within its statutory borrowing capacity for some time beyond March 1.
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  Which means that rates traders are wearily looking at the T-Bill curve to determine when analysts expect the Treasury to exhaust its extraordinary measures, at which point another debt ceiling crisis will become a very hot topic. And as the following chart of the infamous “kink” in bill yields shows, where the curve dislocation approximate the timing of the D-Date, the market believes that the US will run out of extenuating measures some time in the last week of August.
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