The U.S.
Treasury auctioned off $25 billion of the 30 year bonds at a high yield of 5.046% WI level at the time of the auction 5.041% Tail 0.5 basis points Bid to cover 2.30X Directs 21.74% Indirects 66.6% Dealers 11.66% AUCTION GRADE C The third of three coupon auctions this week
The three year and a 10 year came in below average demand.:The indirect international demand was near the average. The director demand was also near the average. The bid to cover was lower than the six month average while the tail was higher than the six-month average.
I give the auction a grade of C as it was a touch better than the 10 year and feeling generous, but the grade was just off being a C- like the 10 year auction. US yields are modestly higher today. The two year yield is just below the 4% level at 3.99%.