Stellar 3Y Auction Sees Bid To Cover Spike, Record Low Dealers, First Stop Through Since Sept
Stellar 3Y Auction Sees Bid To Cover Spike, Record Low Dealers, First Stop Through Since Sept
After four consecutive poor, tailing 3Y auctions, moments ago the Treasury reported the results of today's sale of $58BN in 3 year paper, and it was nothing short of stellar.
The high yield of 4.300% was down 3.2bps from last month's 4.332% and stopped through the When Issued 4.313% by 1.3bps, the first non-tailing 3Y auction since September.
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The bid to cover was 2.786, a jump from last month's 2.626 and the highest since August 2023.
The internals were also stellar, with Indirects awarded 74.0%, the highest since last September. And with Directs taking 15.8%, Dealers were awarded just 10.2%, the lowest on record.
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Overall, this was a stellar auction with impressive metrics up and down...
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... even if the market barely budged in reaction with 10y yields trading just shy of the 4.54% session high.
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Tue, 02/11/2025 - 13:29