U.S. Treasury sales of $40 billion of 3 year notes a high yield of 3.977%

• High-yield 3.977% versus WI level of 4.000% at the time of the auction
• tail -2.3 basis points.
• bid to cover 2.84X versus six month average of 2.52X
• directs 13.2% versus a six month average of 19.3%
• indirect 69.5% versus six month average of 59.2%
• primary dealers 17.3% versus six month average of 21.5%

The only dim spot was the domestic demand was weak at 13.2% vs 19.3%, but that was more than made up by the international demand which was a full 10% higher than normal. Dealers were saddled with 4% less than normal.

Overall a solid B grade ignoring the lack of domestic demand

/inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term