The WI was trading at 2.29% at the time of the auction
- High yield 2.295%. Last 1.933%
- WI at time of auction 2.290%
- Tail 0.5 bp. Six month averages -0.2 basis points.
- Bid to cover 2.28X. Six month average 2.34X
- Dealers 19.21%. Six month average 21.6%
- Directs 20.2%. Six month averages 16.5%
- Indirects 60.6%. Six month average 61.9%
Like the 10 year, the auction is not stellar, but it is not bad either. The tail is 0.5% above the WI yields. The Bid to cover, was slightly lower than the 6 month average. The direct bids were strong. The dealers were saddled with less than average.
US stocks have moved higher initially on relief with the S&P and Nasdaq trading at new session highs. Yields in the secondary market have dipped a basis point or two.
