U.S. Receives Record Demand For Its Bonds Under Obama, Helping The Deficit

[janedrake]

U.S. Receives Record Demand For Its Bonds Under Obama, Helping The Deficit
http://thinkprogress.org/economy/2011/12...e-deficit/
(somewhere John Boehner cries tonight)
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Bloomberg News reports that the U.S. government received record demand for
its bonds in 2011, “pushing longer-maturity treasuries to their best performance
since 1995 in a sign that President Obama may have little difficulty” financing the
budget deficit.

The European debt crisis is driving investors to buy U.S. assets, allowing the
government to get an “all-time high bid-to-cover ratio of 9.07 for $30 billion of four-
week bills it auctioned on Dec. 20 even though they pay zero interest.” Despite
the GOP’s factually-challenged fear-mongering about the deficit, the high demand
for U.S. bonds are “helping to contain borrowing costs and making it cheaper as a
percentage of gross domestic product to finance deficits than when the nation last
had budget surpluses.”

[jaxx]

Good news. Says the USA is doing ok.