Thirty-Year Bond Auction Attracts Above Average Demand

(RTTNews) - The Treasury Department announced the results of this month's auction of $22 billion worth of thirty-year bonds on Thursday, revealing the sale attracted above average demand.

The thirty-year bond auction drew a high yield of 5.308 percent and a bid-to-cover ratio of 2.61.

Last month, the Treasury sold $25 billion worth of thirty-year bonds, drawing a high yield of 5.216 percent and a bid-to-cover ratio of 2.39.

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 thirty-year bond auctions had an average bid-to-cover ratio of 2.41.

Earlier in the day, the Treasury also announced the details of this month's auction of twenty-year bonds.

The Treasury revealed plans to sell $13 billion worth of twenty-year bonds, with the results of the auction due to be announced next Tuesday.

Earlier this week, the Treasury revealed this month's auctions of $58 billion worth of three-year notes, $39 billion worth of ten-year notes also attracted above average demand.