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Preview 10Y Note Auction

US TSYS/SUPPLY

Tsy futures trading mildly higher for the most part (30s weaker) ahead the $35B 10Y note auction (91282CGM7) at the top of the hour. WI is currently running around 3.652%, 7.7bp cheap to last month's stop.

  • January auction recap: Tsy futures bounced higher after $32B 10Y note auction re-open (91282CFV8) stopped through w/ 3.575% high yield vs. 3.580% WI; 2.53x bid-to-cover vs. 2.31x prior.
  • Indirect take-up 67.02% vs. 59.45% prior; direct bidder take-up 17.92% from 18.70% prior, primary dealer take-up 15.06% vs. 21.86%.
  • Timing: The 10Y note re-open results will available shortly after the competitive auctions closes at 1300ET.

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