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Preview 3Y Note Auction

US TSYS/SUPPLY
  • Tsy futures are trade firmer/near highs ahead of the $58B 3Y note auction (91282CLL3) at 1300ET. WI is currently at 3.449%, 36.1bp rich to last month's in-line sale.
  • August auction recap: Treasury futures held near lows (TYU4 113-11, -23.5) after $58B 3Y note auction (91282CLG4) came out on the screws: 3.810% high yield vs. 3.809% WI; 2.55x bid-to-cover vs. 2.67x prior.
  • Indirect take-up 64.39% vs. 63.97% prior; direct bidder take-up 20.25% vs. 21.26% prior; primary dealer take-up 15.35% vs. 14.78% prior.
  • Timing today's 3Y note sale: results will be available shortly after the competitive auctions closes at 1300ET.

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