Rounding off this week’s series of long-lasting securities auctions, the Treasury Department sold $28 billion worth of seven-year notes on Thursday, attracting typical need.
The seven-year note auction drew a high yield of 2.370 percent and a bid-to-cover ratio of 2.55.
The Treasury also sold $28 billion worth of seven-year notes last month, drawing a high yield of 2.230 percent and a bid-to-cover ratio of 2.36.
The bid-to-cover ratio is a step of demand that indicates the quantity of quotes for each dollar worth of securities being offered.
The ten previous seven-year note auctions had an average bid-to-cover ratio of 2.52.
Today’s seven-year note auction came after auctions of $26 billion worth of two-year notes and $34 billion worth of five-year notes earlier this week both drew in below par demand.
The material has been provided by InstaForex Business – www.instaforex.com