Bid to cover 2.65x
The US sold 28 billion of 7 year T-notes at a yield of 1.634%. This was more than 1 BP less than WI level at the time of the auction.
Primary dealers take 20.23%
Directs take 14.22% vs 13%
Indirects take 65.55% vs recent average of 57%.
The Bid to cover ratio came in at 2.65 which is the highest since 2014.
Overall a pretty good auction.
The yield on the 7-year had moved up from a low of 1.4433% to a high of 1.721% on Tuesday. The yield has come off over the last two days, helped by the Fed which kept rates on hold. Technically, the yield tested the 100 day MA at the 1.7246% on Tuesday (the high reached 1.7121%).
