US treasury to auction off $42B of 2 year notes at the bottom of the hour

The US treasury will be auctioning off two-year notes at the bottom of the hour. They also auction with a 5 year notes at 1 PM ET.

The six-month averages for the major components shows:

• Tail +0.5 basis points
• bid to cover 2.55X
• Directs 22.5%
• Indirects 56.6%
• Dealers 21%

The high yield last month came in at 4.46%. The current 2 year note yield is 4.533%.