Three-Year Note Auction Attracts Average Demand

(RTTNews) - Kicking off this week's series of long-term securities auctions, the Treasury Department sold $24 billion worth of three-year notes on Monday, attracting average demand.

The three-year note auction drew a high yield of 0.926 percent and a bid-to-cover ratio of 3.33.

Last month, the Treasury sold $25 billion worth of three-year notes, drawing a high yield of 1.066 percent and a bid-to-cover ratio of 3.24.

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 three-year note auctions had an average bid-to-cover ratio of 3.28.

Looking ahead, the Treasury is due to sell $21 billion worth of ten-year notes on Tuesday and $13 billion worth of thirty-year bonds on Wednesday.