• High yield of 2.375%
  • WI at the time of the auction, 2.399%
  • Tail -2.4 basis points versus six month average up +1.1 basis point
  • Bid to cover 2.46X versus six month average of 2.32X
  • Directs 16.42% (a measure of domestic demand) versus six month average of 17.3%
  • Indirects 71.52% (a measure of international demand) versus six month average of 65.5%
  • Dealers 12.06% (dealers tend to take the balance of supply and distribute) versus six month average of 17.2%

Grade: A

Highlights:

  • Strong international demand that was well above the six month average (i.e. indirects)
  • The strong international demand was evident in the -2.4 basis point tail. The six month average was +1.1 basis points
  • The bid the cover was higher than the six month average
  • The dealer takedown was lower than the six month average
  • The only small negative was that the domestic demand (directs) was lower than the six month average.

Overall however a solid auction and certainly better than the three and 10 year auctions from Tuesday and Wednesday.

Rick Santelli also gave the auction an A grade (copy cat).