US treasury auctions $17 billion of 10 year treasury TIPS at a high yield of 1.495%

<ul><li>High yield 1.495%</li><li>WI level at the time of the auction 1.546%</li><li>Tail -5.1 basis points</li><li>Bid to cover 2.51X (previous 2.31X) </li><li>Directs 12.67% vs previous 5.9%</li><li>Indirects 85.84% vs previous 76.4%</li><li>Dealers 1.49% vs previous 7.7%</li></ul><p>The last 10-year TIPS was on May 18th. Strong demand.</p><p>The yields along the treasury curve are coming off a little bit at least in the shorter end:</p><ul><li>2-year yield 4.849%, +9.4 basis points. The high yield reached 4.84%</li><li>10-year yield 3.866%, +12.4 basis points. The high yield reached 3.872%</li><li>30-year 3.922%, plus a .3 basis points. The high yield reached 3.925%</li></ul>

This article was written by Greg Michalowski at www.forexlive.com.