US treasury to auction off 10 year bonds at the top of the hour | Forexlive

The US treasury will auction off $35B of 10 year bonds at the top of the hour.

The 6 month averages of key components shows:

• Bid to cover 2.39X
• Directs (a measure of domestic demand) 18.6%
• Indirects (a measure of international demand) 62.9%
• Dealers (Dealers take the rest) 18.5%
• Tail 1.6 bps

The 3 year auction did not go well yesterday with a tail of 4 basis points and a low bid to cover.

Will the buyers come in for this auction?

Last month the Bid to cover was 2.53X and the tail was -0.5 basis points.