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Preview 10Y Note Auction Reopen

US TSYS/SUPPLY

Tsy futures trading mildly mixed ahead of the $35B 10Y note auction reopen (91282CHT1) at the top of the hour, TYZ3 back to steady at 109-25. WI is currently running around 4.282%, 28.3bp cheap to last month's tail.

  • August auction recap: Treasury futures see-sawed mildly higher after the $38B 10Y note auction (91282CHT1) tailed slightly: 3.999% high yield vs. 3.997% WI; 2.56x bid-to-cover vs. 2.53x prior.
  • Indirect take-up climbed to 72.2% vs. 67.74% prior; direct bidder take-up 18.3% from 19.87% prior; primary dealer take-up 9.5% vs. 12.39%.
  • Timing: The 10Y note auction results will be available shortly after the competitive auctions closes at 1300ET.

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