Thirty-Year Bond Auction Attracts Below Average Demand

The Treasury Department finished off this week's series of announcements of the results of its long-term securities auctions on Tuesday, revealing the sale of $24 billion worth of thirty-year bonds attracted below average demand.

The thirty-year bond auction drew a high yield of 2.000 percent and a bid-to-cover ratio of 2.19.

Last month, the Treasury also sold $24 billion worth of thirty-year bonds, drawing a high yield 2.172 percent and a bid-to-cover ratio of 2.29.

The bid-to-cover ratio is a measure of demand that indicates the amount of bids for each dollar worth of securities being sold.

The ten previous thirty-year bond auctions had an average bid-to-cover ratio of 2.33.

On Monday, the Treasury revealed this month's auctions of $58 billion worth of three-year notes and $38 billion worth of ten-year notes both attracted average demand.

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