23.04.201913:29:00UTC+00Two-Year Note Auction Attracts Below Average Demand

On Tuesday, the Treasury Department kicked off this week's series of long-term securities auctions with the sale of $40 billion worth of two-year notes, attracting below average demand.

The two-year note auction drew a high yield of 2.355 percent and a bid-to-cover ratio of 2.51.

The Treasury also sold $40 billion worth of two-year notes last month, drawing a high yield of 2.261 percent and a bid-to-cover ratio of 2.60.

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 2.63.

Looking ahead, the Treasury is due to sell $41 billion worth of five-year notes on Wednesday and $32 billion worth of seven-year notes on Thursday.