Bond Market Update

Treasury Auction Preview

• $44 bln 7-year Treasury note auction (results at 13:00 ET):
  • Prior auction results:
    • High yield: 3.790%
    • Bid-to-cover: 2.46
    • Indirect bid: 59.0%
    • Direct bid: 27.8%
  • Average results of previous 12 auctions:
    • High yield: 4.142%
    • Bid-to-cover: 2.60
    • Indirect bid: 67.4%
    • Direct bid: 22.5%