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Preview $49B 5Y Note Auction

US TSYS/SUPPLY

US Tsy $49B 5Y-Note auction (91282CJA0) at the top of the hour, WI has climbed higher over the last couple hours, currently 4.652%, 25.2bp cheap vs. last month's high yield:

  • August auction review: Little reaction to $46B 5Y note auction (91282CHX2): 4.400% high yield, in-line with WI; 2.54x bid-to-cover vs. 2.60x in the prior month.
  • Indirect take-up at 67.92% vs. 64.38% prior; Direct take-up 18.25% vs. 22.13% prior; Primary dealer take-up 13.83% vs. 13.49%.
  • Timing: Results for the latest 5Y note sale will available shortly after the competitive auctions closes at 1300ET.

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