Pimco's Schneider Warns About Looming Treasury Supply Falloff

The video discusses the expected deceleration in treasury supply, influenced by the Treasury Borrowing Advisory Committee and changes in the T bill market. Despite the growing deficit and debt, the net effect on treasury issuance may change, leading to a reduction in supply. The video highlights the importance of understanding net supply effects in the marketplace.

What surprising expectation is discussed regarding the bond market?

• Stable treasury supply

• A new type of bond issuance

• A decrease in treasury supply

• An increase in treasury supply

Which committee is mentioned as influencing the reduction in treasury supply?

• Financial Stability Oversight Council

• Treasury Borrowing Advisory Committee

• Securities and Exchange Commission

• Federal Reserve Committee

In which market is a reduction of 3 to 400 billion in supply expected?

• Foreign exchange market

• T-bill market

• Municipal bond market

• Corporate bond market

What is the expected impact on treasury issuance despite growing deficits?

• Increase in issuance

• Decrease in issuance

• No change in issuance

• Issuance will be halted

What is the main tension discussed in the final section?

• Between stock market and bond market

• Between treasury supply and market demand

• Between interest rates and inflation

• Between growing debt and treasury issuance