US treasury sells $30B of 2 year note at 2.31%

50.43% at the highs

• Highest yield since August 2008
• Bid to cover ratio 2.91x versus 2.72x at the last auction
• Awards 44.5% of two-year notes to indirect bidders
• Awards 14.1% to direct bidders
• 41.3% to your notes to primary dealers

A good auction but a higher yield is a help. The midpoint of the bid to cover -a sign of demand - over the last 2 years comes in at 2.83x. The 2.91x today is above that which is indicative of better demand.