FX.co ★ Thirty-Year Bond Auction Attracts Below Average Demand

### Treasury Department Announces Mixed Auction Results for Long-Term Securities

**WASHINGTON, D.C.** — In this week's update on long-term securities auctions, the Treasury Department reported on Thursday that its latest sale of thirty-year bonds, amounting to $22 billion, experienced below-average demand.

The auction for the thirty-year bonds resulted in a high yield of 4.405 percent and a bid-to-cover ratio of 2.30. For context, the previous month saw the sale of the same amount in thirty-year bonds with a high yield of 4.403 percent and a higher bid-to-cover ratio of 2.49. The bid-to-cover ratio, which measures the interest in the auction by indicating the number of bids for each dollar's worth of securities sold, is a crucial metric in assessing demand.

In comparison, the average bid-to-cover ratio for the last ten thirty-year bond auctions stands at 2.40, indicating a slight dip in interest this month.

Earlier in the week, the Treasury disclosed that its auctions for $58 billion in three-year notes and $39 billion in ten-year notes witnessed above-average demand.

Additionally, on Thursday, the Treasury provided details on its upcoming auction for twenty-year bonds. The department intends to sell $13 billion in twenty-year bonds, with auction results expected to be released next Wednesday. Last month's sale of an identical amount of twenty-year bonds saw stronger-than-average demand.

In summary, while the thirty-year bond auction experienced lower-than-expected interest, the overall appetite for long-term Treasury securities shows some variability, with shorter-term notes drawing more robust demand this month.