Bid to cover comes in at 2.54x vs 2.39x last
The US treasury auctioned $27B of 10 year notes at a high yield of 3.209%.
- bid to cover comes in at 2.54x vs 2.39x last
- awards 1.2% of 10 year notes to direct bidders
- awards 73.8% to indirect bidders
- awards 25% to primary dealers
- allotted at the high 18.43%
- The last auction came in at 3.225%. That was the highest since April 2011. The yield today was just below that high yield.
The WI yield was at 3.221%. The lower yield at the auction suggests stronger than expected demand.
The last 6 auctions had Bid to Cover at:
- 2.39
- 2.58
- 2.55
- 2.57
- 2.59
- 2.56
The average over that 6 months is 2,54x which is spot on with the bid to cover today.
Good auction.
