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2021.02.2417:28:00UTC+00Five-Year Note Auction Attracts Below Average Demand

After revealing below average demand for this month's two-year note auction on Tuesday, the Treasury Department on Wednesday announced the results of this month's auction of $61 billion worth of five-year notes, which also attracted below average demand.

The five-year note auction drew a high yield of 0.621 percent and a bid-to-cover ratio of 2.24

Last month, the Treasury also sold $61 billion worth of five-year notes, drawing a high yield of 0.424 percent and a bid-to-cover ratio of 2.34.

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 2.46.

Looking ahead, the Treasury is due to announce the result of its auction of $62 billion worth of seven-year notes on Thursday.



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