Five-Year Note Auction Attracts Average Demand

(RTTNews) - Continuing this week's series of announcements of the results of its long-term securities auctions, the Treasury Department on Wednesday revealed this month's sale of $70 billion worth of five-year notes attracted average demand.

The five-year note auction drew a high yield of 3.724 percent and a bid-to-cover ratio of 2.36.

The Treasury also sold $70 billion worth of five-year notes last month, drawing a high yield of 3.983 percent and a bid-to-cover ratio of 2.31.

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 five-year note auctions had an average bid-to-cover ratio of 2.38.

On Thursday, the Treasury is due to announce the results of this month's auction of $44 billion worth of seven-year notes.