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

After reporting slightly above average demand for this month's three-year note auction on Monday, the Treasury Department on Tuesday revealed this month's auction of $34 billion worth of ten-year notes attracted below average demand.

The ten-year note auction drew a high yield of 2.720 percent and a bid-to-cover ratio of 2.43.

The Treasury also sold $34 billion worth of ten-year notes last month, drawing a high yield of 1.920 percent and a bid-to-cover ratio of 2.47.

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 2.52.

The Treasury is due to announce the results of this month's auction of $20 billion worth of thirty-year bonds on Wednesday.