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Preview $42B 7Y Note Auction

US TSYS/SUPPLY

Tsy $42B 7Y-Note auction (91282CES6) at the top of the hour, WI currently running around 2.797%, 11.1bp rich to last month's high yield.

    • April auction recap: Bonds inched lower, still off session lows after $44B 7Y note auction (91282CEM9) tailed: 2.908% high yield vs. 2.890% WI; 2.41x bid-to-cover vs. 2.44x last month.
    • Indirect take-up: climbs to 64.95% vs. 60.9% in March; Primary dealer take-up: 15.22% vs. 10.52%; Direct take-up: falls to 19.82% vs. 28.58%.
  • Timing: The 7Y note results will available shortly after the competitive auctions closes at 1300ET.

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