High yieldat: 2.121%
- Compared to the previous auction yield of 1.67%.
- Higher than the average six-rupee rate of 1.99%.
Tail: 5.6 basis points
- Lower than the tail of the previous auction by 15 basis points.
- Below the six-month average of 9.0 basis points.
- Note: The 5-year TIPS was trading at 2.065% at 1:00 PM EST.
Bid-to-Cover Ratioat: 2.10x
- Lower than the previous auction ratio of 2.40x.
- Also below the six-rupee average of 2.50x.
Seller satisfactionat: 25.42%
- has changed so far -25.79% compared to yesterday.
- Below the six-rupee average of 5.55%.
Direct satisfactionat: 23.15%
- The smallest stock dividend was 17.30%.
- Exceeding the six-rupee average by 16.73%.
Indirect satisfaction: 51.43%
- changed so far +74.84% compared to yesterday.
- Below the six-rupee average of 77.7%.
US yields show lower short-term yields but significantly higher yields out of the curve.
- 2 years 4.318%, down -3.6 bps
- 5 years 4.432% up 4.9 bps
- 10 year 4.588%, up 8.8 bps
- 30 year 4.768%, up 10.8 bps
The 2-10 year spread is up to 27 bps. It was close to flat in November. The 50% midpoint of the move down from the 2021 high comes in around that level at 26.7 bps.
