Seven-Year Note Auction Attracts Modestly Above Average Demand

(RTTNews) - Finishing off this week's series of announcements of the results of its long-term securities auctions, the Treasury Department on Wednesday revealed this month's auction of $43 billion worth of seven-year notes attracted modestly above average demand.

The seven-year note auction drew a high yield of 4.185 percent and a bid-to-cover ratio of 2.61.

Last month, the Treasury sold $42 billion worth of seven-year notes, drawing a high yield of 4.327 percent and a bid-to-cover ratio of 2.58.

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 seven-year note auctions had an average bid-to-cover ratio of 2.55.

Earlier this week, the Treasury Revealed this month's auctions of $66 billion worth of two-year notes and $67 billion worth of five-year notes attracted below average demand.