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Jefferies economist Tom Simons said......>

US TSYS/2Y
US TSYS/2Y: Jefferies economist Tom Simons said today's $26B 2-year note auction
"stopped 0.3 bps above the 1:00PM WI bid in a relatively soft auction. Most of
the stats were a little bit light of the recent averages."
- He added "the auction resulted in the accidental reopening of an old 5-year
note (CUSIP: 912828F62). Prior to today, the Fed did not hold any of this issue
in the SOMA portfolio. The add-on today was approximately $650 mln."
- He said "the 2.74 bid cover is the lowest since March 2017. -Indirect bidders
took down 48.2% of the auction which is more than last month, but still a little
bit light of average. Direct bidders took down 14.1%, also slightly below
average. As a consequence of the soft buyside, Dealers took down 37.7% of the
auction. This is almost 6% above the average coming into the auction."

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