The US treasury will auction off $45 billion of two-year notes at the top of the hour. What are the 6 month averages of the major components for the 2 year issue?
- Bid to cover, 2.63X
- Directs (a measure of domestic demand), 20.4%
- Indirects (a measure of international demand), 61.1%
- Dealers (they take the rest that the domestic and international investors leave), 18.5%
The tail came in at 0.7 basis points at the last auction with a six-month average of -0.4 basis points. The high yield at the last auction came in at 3.084%. The current 2 year note is trading at 3.029%
