The US Treasury auctioned $39 billion in 10-year notes on Wednesday at a high yield of 4.435% amid recent volatility in bond markets. While yields had been climbing earlier in the day, the auction was met with robust demand, suggesting a positive reception.
The bid-to-cover ratio stood at 2.67, indicating strong interest, with investors bidding nearly $104 billion for the available $39 billion in securities. Indirect bidders accounted for $34.2 billion of accepted bids, almost 88% of the total competitive awards, well above the six-month average at 68.3%, indicating a strong international demand.
After the results were announced, the yield on the 10-year Treasury note increased by 14.5 basis points to 4.407%.
