The Treasury announced $123 billion in issuance slated for this week, which would mark a new weekly record.  This amount of supply hitting the market is bound to cause more dollar concerns.

Investors have kept a close eye on U.S. debt auctions this year in light of the government's burgeoning budget deficit. Some have questioned the longevity of the United States' prized AAA rating.

The U.S. budget deficit hit a record $1.4 trillion in the fiscal year that ended on Sept. 30 as the deep recession and a series of bank rescues cut a gaping hole in public finances.

In terms of the economy, the budgetary shortfall amounted to a massive 10 percent of total U.S. economic output, the most for any budget shortfall since World War Two, and the White House has forecast deficits of more than $1 trillion through fiscal 2011.