US treasury to auction off $18 billion of 30 year bonds at the top of the hour

The U.S. Treasury will auction off $18 billion of 30 year bonds at the top of the hour. The six-month averages of the major components shows:

• Tail: 6-month average 0.5bps
• Bid-to-Cover: 6 month average 2.35X)
• Directs (a measure of domestic demand): 6-month average 19.2%
• Indirects (a measure of foreign demand): 6-month average 68.9%.
• Dealers (they take the rest): 6-month avg. 11.8%

The previous auction came in at a 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 of 3.741% with a tail of -1.5 basis points. The bid Bid In a market, a bid is a price at which a buyer is willing to purchase a specific security, such as a currency, stock or bond. It is the highest price that a buyer is willing to pay for a security. Bids are typically made by market participants such as investors and traders, and are usually entered into an electronic order book or trading platform.When a market participant is looking to buy a security, they will typically place a bid at a certain price. If there are multiple buyers looking to pur In a market, a bid is a price at which a buyer is willing to purchase a specific security, such as a currency, stock or bond. It is the highest price that a buyer is willing to pay for a security. Bids are typically made by market participants such as investors and traders, and are usually entered into an electronic order book or trading platform.When a market participant is looking to buy a security, they will typically place a bid at a certain price. If there are multiple buyers looking to pur Read this Term to cover was also above average at 2.43X. The international demand was strong at 72.4%

The auction is the 3rd in the coupon sector. Yesterday, the treasury auctioned 3 and 10 year notes to weak demand from international investors. Both had larger than normal price concessions (higher yields) vs the WI level.