Due to the Fed meeting on Wednesday, the US treasuries frontloading the auctions. Earlier today, they sold $60 billion of two year notes at a high yield of 4.211% versus a WI level of 4.210%. The into cover was nearly average, with domestic buyers better than the six-month average but international buyers less than the six-month average.
For the five year notes, the auction will be compared to the six-month averages of major components:
- Tail +0.4 basis points
- Bid to cover 2.40X
- Direct 17.9%
- Indirects 69.3%
- Dealers 12.8%