- A technical glitch in the Treasury's debt-auction system blocked Goldman Sachs' (GS) multi-billion dollar order for 90-day bills (BIL), altering pricing and leaving the bank empty-handed. A total of $30B in bills were moved, but Goldman - one of 21 primary dealers - was left out. When Treasury officials noticed the botched order, they allotted Goldman more six-month paper, which was being sold at the same time.
- The snafu looks to have cost Treasury some money as the paper was priced to yield 0.02% at the auction vs. pricing of 0.013% prior to the sale.
- The Treasury's auction system hasn't broken down in decades, say those familiar with it, and four auctions held since have come off just fine.
Goldman blocked at Treasury auction by technical glitch
Sep 19 2013, 15:27 ET