US treasury auctions off $21 billion of 30 year bonds at a high yield of 3.741%

• High yield Yield A yield represents the earnings generated by an investment or security over a certain time period. Yields are typically displayed in percentage terms and are in the form of interest or dividends received from it.These figures do not include the price variations, which separates it from the total return. Consequently, a yield applies to various stated rates of return on stocks, fixed income instruments such as bonds, and other types of investment products.Yields can be calculated as a ratio or as A yield represents the earnings generated by an investment or security over a certain time period. Yields are typically displayed in percentage terms and are in the form of interest or dividends received from it.These figures do not include the price variations, which separates it from the total return. Consequently, a yield applies to various stated rates of return on stocks, fixed income instruments such as bonds, and other types of investment products.Yields can be calculated as a ratio or as Read this Term of 3.741%
• WI level at the time of the auction 3.756%
• Bid to cover Cover When a trader says he or she is going to "cover," it typically refers to the act of closing out a short position in a security, stock, or forex position. Short selling is a trading strategy where a trader borrows shares or securities and sells them in the market with the expectation that the price will decline. If the price does indeed drop, the trader can buy back the shares at a lower price, return the borrowed shares to the lender, and pocket the difference as profit.To "cover" a short positi When a trader says he or she is going to "cover," it typically refers to the act of closing out a short position in a security, stock, or forex position. Short selling is a trading strategy where a trader borrows shares or securities and sells them in the market with the expectation that the price will decline. If the price does indeed drop, the trader can buy back the shares at a lower price, return the borrowed shares to the lender, and pocket the difference as profit.To "cover" a short positi Read this Term 2.43X times ersus 2.35X six-month average
• Tail -1.5 basis points versus six-month average of +0.2 basis points
• Directs 17.36% versus six-month average of 19.7%
• Indirects 72.43% versus six-month average of 68.5%
• Dealers 10.21% versus six-month average of 11.7%

The 30 year bond auction was met with strong demand from international investors. Domestic buyers were less than the six-month average. Nevertheless the strong international bid led to a tail of -1.5 basis points which is much less than the +0.2 basis point average over the last 6 months. The dealers were still saddled with less than six-month average.

Auction grade: A

For the week, the 3 and 30 year auction were both solid A's on the grading scale. The 10 year note auction was less well received, but still solid.