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Review 10Y Auction: Another Weak 10Y

US TSYS/SUPPLY

Tsy futures trade lower (still off early session lows) after $33B 10Y note auction (91282CEP2) reopen tails yet again: 2.030% high yield vs. 3.017% WI; 2.41x bid-to-cover off last month's 2.49x

  • Indirect take-up recedes to 63.59% vs. last month's 70.30% high; direct bidder take-up climbs to 19.37 from 18.21%, while primary dealer take-up climbs to 17.04% vs. 11.49%.
  • Next 10Y auction (re-open) is tentatively scheduled for July 12

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