Ten-Year Note Auction Attracts Average Demand

(RTTNews) - Following yesterday's auction of $24 billion worth of three-year notes, the Treasury Department continued this week's series of long-term securities auctions with the sale of $21 billion worth of ten-year notes on Wednesday.

The ten-year note auction drew a high yield of 2.233 percent and a bid-to-cover ratio of 2.64.

Last month, the Treasury also sold $24 billion worth of ten-year notes, drawing a high yield of 2.304 percent and a bid-to-cover ratio of 2.58.

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 2.63.

Finishing off this week's series of long-term securities auctions, the Treasury is due to sell $13 billion worth of thirty-year bonds on Thursday.