U.S. Treasury to auction off 10 year notes at the top of the hour | investingLive

The U.S. Treasury will auction off 10 year notes at the top of the hour. The six-month average of the major components shows:

• Bid to cover 2.58X
• Tail -0.8 basis points
• Directs (domestic demand) 16.4%
• Indirects (international demand) 72.3%
• Dealers 11.2%

The US 10 year yield is the benchmark for things like mortgage rates, and other consumer loans. This week, the US 30 year rate fell to 6.77% from 6.83% last week. The high for the year 7%. The low was near 6.7%.

Success or failure of the auction will be determined by the actual results versus the six-month averages of the component pieces outlined above. If there is greater demand, yields should move lower. If the demand is week, yields could be pressured higher. The 10 year yield is currently up 3.9 basis points on the day.