05.11.201813:25:00UTC+00Three-Year Note Auction Attracts Below Average Demand

On Monday, the Treasury Department kicked off this week's series of long-term securities auctions with the sale of $37 billion worth of three-year notes, attracting below average demand.

The three-year note auction drew a high yield of 2.983 percent and a bid-to-cover ratio of 2.54.

Last month, the Treasury sold $36 billion worth of three-year notes, drawing a high yield of 2.989 percent and a bid-to-cover ratio of 2.56.

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 three-year note auctions had an average bid-to-cover ratio of 2.79.

Looking ahead, the Treasury is due to sell $27 billion worth of ten-year notes on Tuesday and $19 billion worth of thirty-year bonds on Wednesday.