The US treasury auctions $69B of 2 year notes at a high yield of 4.071%
- WI at the time of the auction 4.071%
- Bid to cover 2.64X vs average of 2.62X
- Dealers 12.3% vs 12.8 avg
- Directs 30.1% vs average of 29.2%
- Indirects 57.6% vs 6-month average of 57.9%
- Dealers 12.3% vs average of 12.8%
Auction Grade: C
The details are congruent with the averages over the last 6-months.
The US yields remain down on the day but off the lows.
- 5 year yield is down -6.4 basis points at 4.200%
- 10 year yield is down -6.8 basis points at 4.504%. The yield did move below the 4.50% level to 4.475%, but could not sustain momentum below the level. Technically, the yields did move below the 200 hour MA at 4.553% and below the 38.2% of the move up from the May 19 low at 4.511%. Those levels are now close resistance levels for the 10 year yield.
- 30 year yield is down -5.4 basis points at 5.028%. The low yield moved below the 5.00% at 4.998% but bounced back above.
