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Preview $70B 5Y Note Auction

US TSYS/SUPPLY
  • Tsy futures hold moderately weaker levels ahead the $70B 5Y note auction (91282CKP5) at 1300ET. WI is currently running at 4.656%, 42.1bp cheap to last month's stop.
  • March auction recap: Tsy futures bounced back near opening levels after the $67B 5Y note auction (91282CKG5) traded through: drawing 4.235% high yield vs. 4.242% WI; 2.41x bid-to-cover steady to the prior auction.
  • Indirect take-up surged to 70.45% vs. 59.33% prior, directs took 16.81% vs.19.66% prior, while primary dealer take-up fell to 12.73% vs. 16.82% prior.
  • Timing: Results for the latest 5Y note sale will be available shortly after the competitive auction close at 1300ET.

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