- High yield:4.438%
- WI level at the time of the auction: 4.458%
- Tail -2.0 BPs vs 6 month average of 1.1 bps
- Bid to cover: 2.60X vs 6-month average or 2.50X
- Directs: 13.81% vs 6 month average of 17.53%
- Indirects: 74.6% vs 6 month average of 65.42%
- Dealers:11.59% vs 6 month average of 17.03%
Auction grade:A-
The only disappointment is that the domestic direct buyers were light, but they were overwhelmed by the international buyers who took a whopping 74.6% of the auction.
Strong demand from international buyers saves the day.
Yields across the curve are now showing:
- 2-year yield 4.850%, -3.4 basis points
- 5-year yield 4.435%, -4.5 basis points
- 10 year yield 4.429%, -3.9 basis points
- 30-year yield 4.563%, -3.2 basis points
Looking at the US stocks, the NASDAQ index is now up 38 points or 0.22%. Closing in positive territory would be another record close for that index. The S&P index is still lower by -9.4 points or -0.17%. The Dow Industrial Average averages also lower at -254 points or -0.66% at 38611.51
The USD has moved lower.
- The EURUSD is back above 1.07346. The break below the swing area between 1.0722 and 1.07346 failed. The 1.0755 is the next upside target now.