Three-Year Note Auction Attracts Average Demand
Kicking off this week’s announcements of the results of its long-term securities auctions, the Treasury Department revealed on Monday that its auction of $54 billion worth of three-year notes attracted average demand.
The three-year note auction drew a high yield of 0.250 percent and a bid-to-cover ratio of 2.40.
Last month, the Treasury sold $52 billion worth of three-year notes, drawing a high yield of 0.193 percent and a bid-to-cover ratio of 2.44.
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 three-year note auctions had an average bid-to-cover ratio of 2.42.
Looking ahead, the Treasury is due to announce the results of its auction of $41 billion worth of ten-year notes on Tuesday and the result of its auction of $27 billion worth of thirty-year bonds on Thursday.
The material has been provided by InstaForex Company – www.instaforex.com