- High yield 4.152%
- WI level at the time of the auction 4.143%
- Tail 0.9% vs 6-month average of -0.2%
- Bid to cover 2.60X vs 6 month average of 2.57X
- Directs 9.6% vs 6 month average of 15.7%
- Indirects 70.6% vs 6 month average of 66.5%
- Dealers 19.75% vs 6 month average of 15.76%.
Auction Grade: D+
Highlights or lowlights:
The 3 year note auction had to have a yield concession of 0.9 bps to attract the buyers. The Bid to cover was around the average over the last 6 months. The Domestic demand was very light at less than 10%, but the international demand was strong at over 70% but at the higher yields.
The auction was below average but not a failure (( have seen worse) plus given the uncertainty ahead, the results are somewhat expected.
