Five-Year Note Auction Attracts Slightly Below Average Demand

(RTTNews) - The Treasury Department on Wednesday announced the results of this month's auction of $70 billion worth of five-year notes, revealing the sale attracted slightly below average demand.

The five-year note auction drew a high yield of 3.879 percent and a bid-to-cover ratio of 2.36.

Last month, the Treasury also sold $70 billion worth of five-year notes, drawing a high yield of 4.071 percent and a bid-to-cover ratio of 2.39.

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 2.40.

On Tuesday, the Treasury Department revealed this month's auction of $69 billion worth of two-year notes attracted slightly above average demand.

The Treasury is scheduled to announce the results of this month's auction of $44 billion worth of seven-year notes on Thursday.