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2Y Auction ​Review: Weaker, 0.7 Tail

US TSYS/SUPPLY

Mildly weak 2Y sale, Tsy futures holding near middle of lower session range (curves steeper) after $46B 2Y note auction (91282CEX5) tails: 3.084% high yield vs. 3.077% WI; 2.51x bid-to-cover vs. last moth's 2.61x.

    • Indirect take-up: falls to 51.47% vs. 62.55% in May;
    • Direct take-up: bounces to 25.28% vs. 22.10% prior
    • Primary dealer take-up: 23.24% vs. 15.35% prio;
  • The next 10Y auction is tentatively scheduled for July 25.

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