Seven-Year Note Auction Attracts Average Demand
Finishing off this week’s series of long-term securities auctions, the Treasury Department sold $30 billion worth of seven-year notes on Thursday, attracting average demand.
The seven-year note auction drew a high yield of 2.930 percent and a bid-to-cover ratio of 2.49.
Last month, the Treasury also sold $30 billion worth of seven-year notes, drawing a high yield of 2.809 percent and a bid-to-cover ratio of 2.53.
The bid-to-cover ratio is a measure of demand that indicates the amount of bids for each dollar worth of securities being sold.
The ten previous seven-year note auctions drew an average bid-to-cover ratio of 2.50.
Today’s seven-year note auction came after the Treasury sold $35 billion worth of two-year notes on Tuesday and $36 billion worth of five-year notes on Wednesday.
by RTTNews Staff Writer
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