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Review 30Y Bond Auction: Strong Demand, Tsys Pare Losses

US TSYS/SUPPLY

Treasury futures paring losses (USH4 120-06, -19 vs. 119-22 low) after $25B 30Y auction (912810TX6) stops through for the third consecutive time: 4.360% high yield vs. 4.380% WI; 2.40x bid-to-cover vs. 2.37x in the prior month.

  • Indirect take-up 70.70% vs. 67.77% prior; direct bidder take-up 14.49% vs. 17.71% prior; primary dealer take-up 14.81% vs. 14.52%.
  • The next 30Y auction (re-open) is tentatively scheduled for March 13.

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