Tentative Outright Treasury Operation Schedule

[Devilduck]

Can someone lend me a few cents of knowledge on the impact if any the below will have on the F fund?


http://www.newyorkfed.org/markets/tot_operation_schedule.html

 

[crws]

the POMO is widely accepted to have the effect of adding cash to banking institutions, who, in turn, are driven to use it for maximum profitability.
As the economy recovers bit by bit, they invest this liquidity increasingly into the equities market, effectively adding stabilization and alleviating fear and uncertainty which drove the rush to bonds to begin with.
It's a pretty safe bet that the F fund will slowly deflate as the economy comes back to life, at least until the next crisis.

m2¢

 

[Devilduck]

Is it accurate to say that as the 10 year note rises the F fund declines?

I base this on the following: On Oct 8, 2010 the 10 year note closed @ around 2.38% while the F fund was near it annual high of 108.5. On December 8, 2010 the 10 year note closed @ around 3.35% while F fund was 105.5 or near it's annual low.

With technicals now validating a AGG uptrend, and 10 year note at it's annual high and F fund at it low, I placed an IFT today for 100% F.

I did this on trends and technicals and not sure how solid my theory is? 1 year ago I first thought about TSP and didn't know anything about the market. A year later I'm asking this question thankful for everyones help.

Happy Holidays!