The Treasury Department concluded this week's announcements regarding long-term securities auctions on Thursday, disclosing that this month's auction of $22 billion in thirty-year bonds garnered above-average demand.
The auction for the thirty-year bonds produced a high yield of 4.403 percent, with a bid-to-cover ratio of 2.49. In contrast, the previous month's auction saw the Treasury sell $25 billion worth of thirty-year bonds at a high yield of 4.635 percent and a bid-to-cover ratio of 2.41.
For context, the bid-to-cover ratio—an indicator of demand—illustrates the amount of bids for each dollar of securities sold. The average bid-to-cover ratio across the previous ten thirty-year bond auctions stood at 2.39.
Earlier this week, the Treasury reported that the auction of $58 billion in three-year notes attracted below-average demand, whereas the auction of $39 billion in ten-year notes saw above-average demand.
Additionally, on Thursday, the Treasury announced details for this month's auction of twenty-year bonds. The department plans to auction $13 billion in twenty-year bonds, with the auction results expected next Tuesday. Last month's auction of $16 billion in twenty-year bonds drew below-average demand.
