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CORRECTION: Preview 7Y Note Auction WI 4.107%

US TSYS/SUPPLY

Tsy $41B 7Y-Note auction (91282CJX0) is at the top of the hour, WI currently running around 4.107%, 24.8bp cheap to last month's tail:

  • December auction recap: Tsys futures extended lows (TYH4 112-28.5) after the $40B 7Y note auction (91282CJQ5) tailed 1.9bp: 3.859% high yield vs. 3.840% WI; 2.50x bid-to-cover vs. 2.44x last month.
  • Indirect take-up near steady at 63.71% vs. 63.90% prior; Direct take-up: 19.37% vs. 15.85% prior.
  • Timing: The 7Y note results will available shortly after the competitive auction closes at 1300ET.

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