Seven-Year Note Auction Attracts Slightly Above Average Demand

(RTTNews) - The Treasury Department on Tuesday announced the results of this month's auction of $44 billion worth of seven-year notes, revealing the sale attracted slightly above average demand.

The seven-year note auction drew a high yield of 4.457 percent and a bid-to-cover ratio of 2.64.

Last month, the Treasury also sold $44 billion worth of seven-year notes, drawing a high yield of 4.532 percent and a bid-to-cover ratio of 2.76.

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 2.61.

On Monday, the Treasury announced the results of this month's auctions of $69 billion worth of two-year notes and $70 billion worth of five-year notes. Both auctions attracted average demand.