Treasury Department Announces Details Of Twenty-Year Bond Auction

After revealing the results of this month's auctions of three-year and ten-year notes and thirty-year bonds earlier this week, the Treasury Department on Thursday announced the details of this month's auction of twenty-year bonds.

The Treasury indicated it plans to sell $24 billion worth of twenty-year bonds, with the results of the auction due to be announced next Wednesday.

Last month, the Treasury also sold $24 billion worth of twenty-year bonds, attracting above average demand.

The twenty-year bond auction drew a high yield of 1.795 percent and a bid-to-cover ratio of 2.36, while the ten previous twenty-year bond auctions had an average bid-to-cover ratio of 2.34.

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

Earlier this week, the Treasury revealed this month's three-year note auction attracted below average demand, this month's ten-year note auction attracted above average demand and this month's thirty-year bond auction attracted average demand.

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