WASHINGTON (dpa-AFX) - Following yesterday's auction of $26 billion worth of two-year notes, the Treasury Department sold $34 billion worth of five-year notes on Wednesday, attracting above average demand.
The five-year note auction drew a high yield of 1.395 percent and a bid-to-cover ratio of 2.60.
The Treasury also sold $34 billion worth of five-year notes last month, drawing a high yield of 1.410 percent and a bid-to-cover ratio of 2.41.
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 five-year note auctions had an average bid-to-cover ratio of 2.44.
The Treasury is due to finish off this week's series of long-term securities auctions with the sale of $28 billion worth of seven-year notes on Thursday.
Copyright RTT News/dpa-AFX