Ten-Year Note Auction Attracts Above Average Demand

(RTTNews) - A day after reporting modestly above average demand for this month's three-year note auction, the Treasury Department on Tuesday revealed this month's auction of $35 billion worth of ten-year notes also attracted above average demand.

The ten-year note auction drew a high yield of 4.289 and a bid-to-cover ratio of 2.52.

The Treasury sold $38 billion worth of ten-year notes last month, drawing a high yield of 3.999 percent and a bid-to-cover ratio of 2.56.

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 2.43.

On Wednesday, the Treasury is due to announce the results of this month's auction of $20 billion worth of thirty-year bonds.