US treasury sells $25 billion of 30 year bonds at a high yield of 4.748%

• High yield 4.748%
• WI at the time of the auction 4.736%
• Tail 1.2 basis points versus 6-month average of 0.2 basis points
• Bid to cover 2.33X versus 6-month average of 2.46X
• Directs (domestic demand) 18.6% versus 6-month average of 17.6%
• Indirects (international demand) 65.1% versus 6-month average of 68.4%
• Dealers 16.3% versus 6-month average of 14.0%

AUCTION GRADE: D

The only OK from the auction was the domestic buyers at 18.6% vs the 5-month average of 17.6%. Every other component was indicative of below average demand.

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