Bid to cover of 3.0x vs 3.13x at the last auction.
- Highest yield since May 2007
- High yield of 2.28% vs 2.08% at the last auction
- bid to cover 3.000 versus 3.13 times at the last auction
- US awards 40.5% to primary dealers. Largest since September.
- US awards 9.7% to direct bidders
- US awards 49.8% to indirect bidders. indirect bidders smallest share since September
It is ok. The dealers took more than usual.
Tomorrow the treasury will auction 10 year notes and on Thursday they will auction thirty-year bonds. The total auction is $66 billion which is higher as a result of the Fed buying less treasuries as they QE maturing bonds roll off their balance sheet.
