Thirty-Year Bond Auction Attracts Above Average Demand

(RTTNews) - The Treasury Department finished off this week's announcements of the results of its long-term securities auctions on Wednesday, revealing this month's sale of $19 billion worth of thirty-year bonds attracted above average demand.

The thirty-year bond auction drew a high yield of 3.115 percent and a bid-to-cover ratio of 2.44.

Last month, the Treasury also sold $19 billion worth of thirty-year bonds, drawing a high yield of 3.185 percent and a bid-to-cover ratio of 2.35.

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 2.34.

Earlier this week, the Treasury revealed this month's auction of $43 billion worth of three-year notes attracted average demand, while this month's auction of $33 billion worth of ten-year notes attracted below average demand.