Following yesterday’s auction of $24 billion worth of three-year notes, the Treasury Department sold $24 billion worth of ten-year notes on Wednesday, attracting above average demand.
The ten-year note auction drew a high yield of 2.237 percent and a bid-to-cover ratio of 2.72.
Last month, the Treasury sold $21 billion worth of ten-year notes, drawing a high yield of 1.925 percent and a bid-to-cover ratio of 2.62.
The bid-to-cover ratio is a measure of demand that indicates the amount of bids for each dollar worth of securities being sold.
The ten previous ten-year note auctions had an average bid-to-cover ratio of 2.66.
The treasury is due to finish off this week’s series of long-term securities auctions on Thursday with the sale of $16 billion worth of thirty-year bonds.
The material has been provided by InstaForex Company – www.instaforex.com