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

Finishing off this week's series of announcements of the results of its long-term securities auctions, the Treasury Department revealed on Thursday that this month's auction of $18 billion worth of thirty-year bonds attracted modestly above average demand.

The thirty-year bond auction drew a high yield of 3.910 percent and a bid-to-cover ratio of 2.43.

The Treasury also sold $18 billion worth of thirty-year bonds last month, drawing a high yield of 3.908 percent and a bid-to-cover ratio of 2.52.

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 thirty-year bond auctions had an average bid-to-cover ratio of 2.37.

The Treasury also announced the details of this month's auction of twenty-year bonds, revealing plans to sell $12.0 billion worth of twenty-year bonds. The results of the auction will be announced next Wednesday.

Last month, the Treasury also sold $12.0 billion worth of twenty-year bonds, attracting well above average demand.

The Treasury announced earlier this week that this month's auctions of $40 billion worth of three-year notes and $32 billion worth of ten-year notes attracted above average demand.