Ten-Year Note Auction Attracts Well Above Average Demand

(RTTNews) - The Treasury Department announced the results of this month's auction of $37 billion worth of ten-year notes on Wednesday, revealing the sale attracted well above average demand.

The ten-year note auction drew a high yield of 1.904 percent and a bid-to-cover ratio of 2.68.

Last month, the Treasury sold $36 billion worth of ten-year notes, drawing a high yield of 1.723 percent and a bid-to-cover ratio of 2.51.

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 2.49.

On Tuesday, the Treasury revealed this month's auction of $50 billion worth of three-year notes attracted slightly above average demand.

The Treasury is due to finish off this week's series of announcements of the results of its long-term securities auctions on Thursday, reporting the results of this month's auction of $23 billion worth of thirty-year bonds.