US treasury to auction off $43 billion of five-year notes at the top of the hour

<ul><li>Tail 6-auction average of -0.8bps.</li><li>Bid-to-Cover 6-auction average of 2.53x.</li><li>Dealers 6-auction average of 12.2%.</li><li>Directs (a measure of domestic demand) 6-auction average of 17.7%.</li><li>Indirects (a measure of international demand) 6-auction average of 70.1%.</li></ul><p>The last auction had a high yield of 3.749% with a tail of -1.4 basis points. The bid to cover was higher than the 6 month average at 2.58X as well.</p><p>The U.S. Treasury will finish their auction coupon issues tomorrow with the sale of 7-year notes. The two-year note auction yesterday was met with strong demand from international buyers.</p>

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