2020.03.2618:25:00UTC+00Seven-Year Note Auction Attracts Strong Demand

After announcing the results of its two-year and five-year note auctions earlier this week, the Treasury Department revealed Thursday that this month's auction of $32 billion worth of seven-year notes attracted well above average demand.

The seven-year note auction drew a high yield of 0.680 percent and a bid-to-cover ratio of 2.76.

Last month, the Treasury also sold $32 billion worth of seven-year notes, drawing a high yield of 1.247 percent and a bid-to-cover ratio of 2.49.

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 seven-year note auctions had an average bid-to-cover ratio of 2.39.

Earlier this week, the Treasury revealed its auction of $40 billion worth of two-year notes attracted below average demand, while its auction of $41 billion worth of five-year notes attracted above average demand.