Thirty-Year Bond Auction Attracts Below Average Demand

(RTTNews) - Finishing off this week's series of long-term securities auctions, the Treasury Department sold $15 billion worth of thirty-year bonds on Thursday, attracting below average demand.

The thirty-year bond auction drew a high yield of 2.902 percent and a bid-to-cover ratio of 2.11.

Last month, the Treasury sold $120 billion worth of thirty-year bonds, drawing a high yield of 2.470 percent and a bid-to-cover ratio of 2.44.

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 2.30.

Today's thirty-year bond auction came after the Treasury sold of $24 billion worth of three-year notes on Tuesday and $23 billion worth of ten-year notes on Wednesday.