The treasury auction confusion continues. After yesterday’s 5 Year auction priced well weaker than expected, despite a negative repo rate of -0.85% which has actually gotten even more negative this morning dropping to -0.9%, things looked somewhat ominous for today’s final for the week issuance of $29 billion in 7 year paper. And yet, moments ago the auction came out far stronger than expected, with the Treasury pricing at 2.153%, a solid 1.2 bps through the 2.165% When Issued, suggesting a far stronger demand into the pricing deadline.