The Treasury Department kicked off this week’s series of announcements of the results of its long-term securities auctions on Tuesday, revealing that this month’s sale of $60 billion worth of two-year notes attracted above average demand.

The two-year note auction drew a high yield of 0.152 percent and a bid-to-cover ratio of 2.74.

Last month, the Treasury also sold $60 billion worth of two-year notes, drawing a high yield of 0.175 percent and a bid-to-cover ratio of 2.34.

The bid-to-cover ratio is a measure of demand that indicates the amount of bids for each dollar worth of securities being sold.

The ten previous two-year note auctions had an average bid-to-cover ratio of 2.51.

Looking ahead, the Treasury is due to announce the results of this month’s auction of $61 billion worth of five-year notes on Wednesday and this month’s auction of $62 billion worth of seven-year notes on Thursday.

The material has been provided by InstaForex Company – www.instaforex.com

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