- The bonds were trading at 4.113% in the when-issued market ahead of the sale
Today's CPI report saved the US Treasury a lot of money with cash 30s down 17 bps ahead of the sale.
Yesterday's 10-year sale was terrible and I suspect the market was worried about a repeat today. Instead it was just the opposite with a strong bid and a stop-thru of 3.3 bps. USD/JPY is under some minor pressure and this is good for risk assets. You'll start to see more and more talk about a low in bonds (and high in yields) at the long end.