2023.06.1217:11:00UTC+00Three-Year, Ten-Year Note Auctions Attract Mixed Demand

The Treasury Department announced the results of this month's auctions of $40 billion worth of three-year notes and $32 billion worth of ten-year notes on Monday, revealing the sales attracted mixed demand.

While the three-year note auction attracted above average demand, the ten-year note auction attracted below average demand.

The three-year note auction drew a high yield of 4.202 percent and a bid-to-cover ratio of 2.70.

Last month, the Treasury also sold $40 billion worth of three-year notes, drawing a high yield of 3.695 percent and a bid-to-cover ratio of 2.93.

The ten previous three-year note auctions had an average bid-to-cover ratio of 2.61.

The bid-to-cover ratio is a measure of demand that indicates the amount of bids for each dollar worth of securities being sold.

The ten-year note auction drew a high yield of 3.791 percent and a bid-to-cover ratio of 2.36.

The Treasury sold $35 billion worth of ten-year notes last month, drawing a high yield of 3.448 percent and a bid-to-cover ratio of 2.45.

The ten previous ten-year note auctions had an average bid-to-cover ratio of 2.41.

On Tuesday, the Treasury is due to announce the results of this month's auction of $18 billion worth of thirty-year bonds.