Mish, can you help maybe in trying to force more transparency from the NY FED regarding securities lending? In a nutshel, NY FED lends treasury bonds to primary dealers at 11:30AM every day - which in turn are probably turned over and rehypothecated by those guys in the now very stretched repo market (among other things to short treasuries...). Primary dealers continue to pay 0.05 on those security loans even though for the last 2 years 3-month interest rates have gone up more than 1%! Why is this not discussed! If my interpretation is correct, this not only sounds wrong - it's borderline criminal. It is supposed to be an "auction" between primary dealers, yet the 0.05 loan rate is always the same, for a few years now....