Seven-Year Note Auction Attracts Average Demand

Finishing off this week's series of long-term securities auctions, the Treasury Department sold $29 billion worth of seven-year notes on Thursday, attracting average demand. The seven-year note auction drew a high yield of 2.839 percent and a bid-to-cover ratio of 2.49. 

Last month, the Treasury sold $28 billion worth of seven-year notes, drawing a high yield of 2.565 percent and a bid-to-cover ratio of 2.73. 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 2.54. Today's seven-year note auction came after the Treasury sold $28 billion worth of two-year notes on Tuesday and $35 billion worth of five-year notes on Wednesday.