U.S. Treasury to auction off $39 billion of 10 year notes at the top of the hour

The second of 3 auctions will take place at 1 PM ET, when the treasury auctions off $39 billion of 10 year notes. The results will be compared to the six-month averages of the major components that show investor demand.

Here are a summarized view of 10-year auction history based on six-month averages of the major components:

• High Yield:

  • Previous: 4.166%
  • Six-auction average: 4.285%

• Tail:

  • Previous: 0.9 basis points
  • Six-auction average: 0.7 basis points

• Bid-to-Cover Ratio:

  • Previous: 2.51x
  • Six-auction average: 2.52x

• Dealers:

  • Previous: 17.1%
  • Six-auction average: 16.1%

• Directs (a measure of domestic demand):

  • Previous: 18.6%
  • Six-auction average: 18.1%

• Indirects (a measure of international demand:

  • Previous: 64.3%
  • Six-auction average: 65.9%

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