The August 27 seven-year auction drew a D grade, foreign bidders taking 60.78 percent, the weakest foreign bid in months, with the FOMC twelve days away on September 16. Leveraged funds have pushed Russell 2000 shorts to the 2.97th percentile of the past two years, the rarest since 2026, while Australian dollar longs sit near the 90th percentile and sentiment's elevated-reading count jumped from 9 to 12 in a week. If the Fed disappoints with foreign demand this weak and small-caps this short, the unwind hits both at once.