FX.co ★ Ten-Year Note Auction Attracts Below Average Demand

A day after revealing average demand for this month's three-year note auction, the Treasury Department on Tuesday announced the results of this month's auction of $33 billion worth of ten-year notes, which attracted below average demand.

The ten-year note auction drew a high yield of 2.960 percent and a bid-to-cover ratio of 2.34.

The Treasury also sold $33 billion worth of ten-year notes last month, drawing a high yield of 3.030 percent and a bid-to-cover ratio of 2.41.

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 previous ten-year note auctions had an average bid-to-cover ratio of 2.49.

On Wednesday, the Treasury is due to finish off this week's announcements of the results of its long-term securities auctions, revealing the results of this month's auction of $19 billion worth of thirty-year bonds.