Ten-Year Note Auction Attracts Above Average Demand

(RTTNews) - A day after reporting above average demand for this month's three-year note auction, the Treasury Department on Wednesday revealed this month's auction of $39 billion worth of ten-year notes also attracted above average demand.

The ten-year note auction drew a high yield of 4.033 percent and a bid-to-cover ratio of 2.65.

The Treasury sold $42 billion worth of ten-year notes last month, drawing a high yield of 4.255 percent and a bid-to-cover ratio of 2.35.

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 2.56.

The Treasury is due to finish off this week's series of announcements of the results of its long-term securities auctions on Thursday by revealing the results of this month's sale of $22 billion worth of thirty-year bonds.