Thirty-Year Bond Auction Attracts Above Average Demand

(RTTNews) - Finishing off this week's series of announcement of the results of its long-term securities auctions, the Treasury Department on Wednesday revealed this month's auction of $20 billion worth of thirty-year bonds attracted above average demand.

The thirty-year bond auction drew a high yield of 4.345 percent and a bid-to-cover ratio of 2.46.

Last month, the Treasury sold $23 billion worth of thirty-year bonds, drawing a high yield of 4.189 percent and a bid-to-cover ratio of 2.42.

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 2.37.

Earlier this week, the Treasury revealed this month's auction of $44 billion worth of three-year notes and $35 billion worth of ten-year notes also attracted above average demand.