RSS Three-Year Note Auction Attracts Modestly Above Average Demand

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 RSS Three-Year Note Auction Attracts Modestly Above Average Demand

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The Treasury Department commenced this week's series of long-term securities auction announcements on Monday, disclosing that this month's auction of three-year notes, valued at $58 billion, experienced slightly above-average demand.

The auction for these three-year notes yielded a high rate of 4.332 percent, with a bid-to-cover ratio of 2.62. In comparison, the previous month's sale of an identical amount of three-year notes resulted in a high yield of 4.117 percent and a bid-to-cover ratio of 2.58.

For context, the bid-to-cover ratio serves as a gauge for demand, illustrating the volume of bids received for every dollar of securities offered.

Historically, the last ten auctions for three-year notes reported an average bid-to-cover ratio of 2.57.

The Treasury is also set to announce the outcomes of this month's auctions for $39 billion in ten-year notes and $22 billion in thirty-year bonds on Tuesday and Wednesday, respectively.

The material has been provided by InstaForex Company - www.instaforex.com
 
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