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Preview $42B 2Y Note Auction

US TSYS/SUPPLY

Tsy futures remain weaker but off midmorning lows ahead the $42B 2Y note auction (91282CHD6) at the top of the hour. WI is currently running around 4.335%, 36.6bp cheap vs. last month's tail:

  • April auction recap: Tsy futures inched back near highs after the $42B 2Y note auction (91282CGX3) tailed slightly: 3.969% high yield vs. 3.965% WI; 2.68x bid-to-cover vs. 2.44x prior.
  • Indirect take-up to 61.20% vs. 52.80% prior month, direct take-up 19.87% vs. 24.17% prior, primary dealer take-up 18.93% vs. 23.03%,
  • Timing: Results for the latest 2Y note sale will available shortly after the competitive auctions closes at 1300ET.

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