Two-Year Note Auction Attracts Below Average Demand
The Treasury Department announced the results of its auction of $58 billion worth of two-year notes on Monday, revealing the sale attracted below average demand.
The two-year note auction drew a high yield of 0.137 percent and a bid-to-cover ratio of 2.45.
Last month, the Treasury sold $56 billion worth of two-year notes, drawing a high yield of 0.165 percent and a bid-to-cover ratio of 2.71.
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 two-year note auctions had an average bid-to-cover ratio of 2.57.
Later today, the Treasury is due to announce the results of its auction of $59 billion worth of five-year notes.
The material has been provided by InstaForex Company – www.instaforex.com