U.S. Treasury to auction off 24 billion of 20-year bonds at the top of the hour

The 20 year yield is trading around 1.87%

The US treasury will auction off $24 billion of 20 year bonds at the top of the hour. The current 20 year bond has a yield of 1.87% currently.

The last six auctions have seen:

• Bid to cover 2.33 times.
• Dealers 23.1%
• Directs (proxy for domestic demand) 17.9%
• Indirects (proxy for foreign demand) 58.9%

The tail at the last auction came in at -1.7 basis points. The 6 month average is at 0.0 basis points.

Overall, yields today are higher with the 10 year yield up 8.4 basis points to 1.291%. The yield of reached down toward 1.12% yesterday before moving back to the upside. The cycle high for 2021 came in at 1.774%.