- High yield 4.553%
- WI level at option time 4.540%
- Tail: +1.3 basis points versus six averages. -0.1 pressure point
- Bid to cover: 2.3X versus a six-month average of 2.41X
- Traders: 19.52% vs. six-month average of 16.0%
- Direct: 15.44% vs. six-month average of 17.9%
- Indirect investments: 65.04% vs. six-month average of 66.1%
The tail was somewhat larger at 1.3 basis points. The attempt at cover was also disappointing. Directions – a measure of domestic demand – were lighter than the average for the month. International demand was also below average.
Two auctions today and two auctions with slow demand.
Auction Grade: D+ (which is probably generous)
Yields are now higher with:
- 5-year at 4.568%, an increase of 3.8 basis points
- The 10-year yield is 4.520%, +4.7 basis points
- The 30-year yield is 4.636%, +5.9 basis points
US stocks fell slightly but the Nasdaq was still up 85 points or 0.50%. The Dow Jones Industrial Average fell -229 points, while the S&P indices returned to trading unchanged.
