U.S. Treasury sells $53 billion of 3 year notes at a high yield of 4.659%

• High yield 4.659%
• WI level at the time of the auction 4.648%
• Tail 1.1 basis points vs 0.1 6-month average
• Bid to cover 2.43X vs 2.57X vs 6-month average
• Dealer 19.9% vs 18.52% 6-month avereage
• Directs 15.9% vs 18.7% 6 month average
• Indirects 64.14% vs 63.2% 6-month average

AUCTION GRADE: D

The domestic demand was very small. The international tried to make up for it, but it was not enough. The tail was 1.1 basis points well above the 6-month average.

The treasury will auction off 10 year notes tomorrow and 30-year bonds on Thursday

This article was written by Greg Michalowski at www.forexlive.com.