US treasury auctions off $22 billion of 30 year bonds at high yield of 2.997%

• High yield Yield A yield represents the earnings generated by an investment or security over a certain time period. Yields are typically displayed in percentage terms and are in the form of interest or dividends received from it.These figures do not include the price variations, which separates it from the total return. Consequently, a yield applies to various stated rates of return on stocks, fixed income instruments such as bonds, and other types of investment products.Yields can be calculated as a ratio or as A yield represents the earnings generated by an investment or security over a certain time period. Yields are typically displayed in percentage terms and are in the form of interest or dividends received from it.These figures do not include the price variations, which separates it from the total return. Consequently, a yield applies to various stated rates of return on stocks, fixed income instruments such as bonds, and other types of investment products.Yields can be calculated as a ratio or as Read this Term 2.997%
• WI level at the time of the auction 3.006%
• Tail -0.9 basis points vs. six-month average of 1.4 basis points
• Bid to cover 2.38X vs. six-month average of 2.31X
• Directs (a measure of domestic demand) 16.6% vs six-month average of 17.4%
• Indirects (the measure of international demand) 69.66% vs six-month average of 64.9%
• Dealers 13.7% vs six-month average of 17.7%

Auction Grade: A

Highlights: The 30 year auction was met with high demand as indicated by a higher-than-expected bid to cover, a -0.9 basis point tail (vs six-month average of 1.4 basis points). The demand was from international investors as a more nearly 70% of the auction. Domestic demand was below the six-month average. The dealers were saddled with less than what is normal.

A good ending to the refunding calendar this week.