We had another very mediocre 2 yr note auction. The yield of 1.765% was a hair above the when issued. The bid to cover of 2.73 was below the one year average of 2.81. Also, dealers got stuck with 41% of the auction vs the 12 month average of 37%. Bottom line, this is relevant because one would think 9 yr highs in the 2 yr yield would generate some more excitement …
[Read more...] about Another Mediocre 2 yr Note Auction. What’s Going On?