US treasury auctions off $43 billion of five-year notes at 3.50% | Forexlive

The U.S. Treasury has auctioned off $43 billion of five-year notes:

• high yield 3.50%
• WI level at the time of the option 3.506%
• Tail -0.6 basis points versus the 6 month average of -0.6 basis points
• Bid to cover 2.54X vs 6 month average of 2.49X
• Directs (a measure of domestic demand) 17.3% versus 6 month average of 17.6%
• Indirects (a measure of international demand) 69.1% versus 6 month average of 68.8%

Auction grade: B-

The component pieces were little better than average.

Bid the cover was little higher. Domestic demand was a little lower. International demand was little higher. There was a negative tail but that was congruent with the 6 month average.