Posted To: MBS Commentary
The Treasury just announced the results of the $13 billion, 29 year-11 month bond auction. Today's auction was a reopening. "Reopening" means the Treasury is simply adding securities to an already outstanding issuance. This explains why the maturity is only 29 years and 11 months. HERE ARE THE RESULTS: YIELDS High 4.520 pct Median 4.420 pct Low 4.310 pct PRICE/ACCEPTANCES Price 97.627644 Accepted at high 40.62 pct Bid-to-cover ratio 2.45 AMOUNTS TENDERED AND ACCEPTED (dollars) Total accepted 3,000,034,500 Total public bids tendered 31,830,399,500 Competitive bids accepted 12,981,895,000 Noncompetitive bids accepted 18,139,500 Fed add-ons 69,918,900 Primary Dealer Tendered 22,818,000,000 Primary Dealer Accepted 6,866,426,000 Primary Dealer Hit Rate 30.1% of what they bid on Primary…(read more)