Apparently the United States has been in a "debt suspension period" for the last 175 days, or almost 6 months.

Does that mean for the last 6 months no new US Treasury Notes and Bills have been issued?

If so, doesn't that create a problem for the Wall Street desks that broker such debt (participate in debt auctions), the so-called "primary dealers"?


No, it does not mean that no new debt is issued. All it means is that the value of new debt issuances cannot exceed the value of debt that reaches maturity and is paid off.

Here's a list of recent Treasury debt auctions. You'll note that many T-bills have maturities as short as 4 weeks— a hint that the debt is actively managed. Simplifying somewhat, when receipts do not exceed outlays by an amount greater than currently-maturing debt, new debt must be issued to generate enough cash to retire the maturing issues.


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