Market Flux Event
US Treasury Sells $58 Billion in 3-Year Notes at 4.627% Yield, Well Below Prior Auction
Read this in the Market Flux appThe U.S. Treasury sold $58 billion in 3-year notes Monday at a high yield of 4.627%, a sharp drop from the 4.932% recorded at the previous auction. The result came in 0.5 basis points above the when-issued yield of 4.622% heading into the sale, indicating modestly weak demand at the margin, a measure traders call the tail.
The bid-to-cover ratio, a gauge of overall demand, slipped to 2.53 from 2.62 at the prior auction. Direct bidders, typically domestic money managers, took 35.0% of the offering, up from 31.7% previously, while indirect bidders, which include foreign central banks, accepted 55.5%, down from 57.6%. Primary dealers were left holding 9.48% of the auction.
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Sources
- FinancialjuiceTreasury WI 3y yield 4.622% before $58 billion auction
- MarketRebelsThe Treasury plans to sell $58 billion 3 Year Notes today; the auction results will be announced just after noon CST. The current market for the when issued is 4.630/4.625%.
- LiveSquawkUS 3-Year Note Sale: - High Yield Rate: 4.627% (prev 4.932%) - Bid-Cover Ratio: 2.53 (prev 2.62) - Direct Accepted: 35.0% (prev 31.7%) - Indirect Accepted: 55.5% (prev 57.6%) - WI: 4.622%
- Cablefxmacro⚖️❗️*US 3Y NOTES DRAW 4.627% VS 4.622% PRE-SALE WHEN-ISSUED YIELD
- FirstSquawkTHE U.S. 3-YEAR NOTE SALE DREW A HIGH YIELD OF 4.627%, DOWN FROM 4.932% PREVIOUSLY AND ABOVE THE WHEN-ISSUED LEVEL OF 4.622%, WITH A BID-TO-COVER RATIO OF 2.53, DOWN FROM 2.62 DIRECT ACCEPTED ROSE TO 35.0% FROM 31.7%, WHILE INDIRECT ACCEPTED FELL TO 55.5% FROM 57.6%
- Crypto BriefingUS 3-year note auction yield falls, demand slightly declines
- PiQMarkets🇺🇸 United States 3-Year Note Auction $USD Actual: 4.627% Previous: 4.932%