{"id":1184344,"date":"2023-03-07T10:10:27","date_gmt":"2023-03-07T15:10:27","guid":{"rendered":"https:\/\/bugaluu.com\/news\/impressive-3y-auction-stops-through-record-low-dealers\/1184344\/"},"modified":"2023-03-07T10:10:27","modified_gmt":"2023-03-07T15:10:27","slug":"impressive-3y-auction-stops-through-record-low-dealers","status":"publish","type":"post","link":"https:\/\/bugaluu.com\/news\/impressive-3y-auction-stops-through-record-low-dealers\/1184344\/","title":{"rendered":"Impressive 3Y Auction Stops Through, Record Low Dealers"},"content":{"rendered":"
\"\"<\/a><\/div>\n

Impressive 3Y Auction Stops Through, Record Low Dealers<\/span><\/p>\n

\n

One month after a catastrophic 3Y auction priced with the biggest tail in the past decade and dismal metrics, today’s sale of $40BN in 3Y paper was actually quite impressive.<\/p>\n

Pricing at a high yield of 4.635%, a new high for the cycle and above both last month’s 4.073% and the previous cycle high of November ’22 at 4.605%, the auction stopped through the When Issued by 0.6bps – unremarkable, until one remembers that last month we saw a gigantic 4bps tail. Then again, last month’s auction followed the blowout payrolls report which repriced all risk assets; of course we have yet to see the February jobs number due Friday.<\/p>\n

The bid to cover of 2.727 was also a solid improvement to last month’s 2.333, and aside from January’s 2.839, this was the highest BtC going back all the way to 2018.<\/p>\n

The internals were also impressive with Indirects taking 62.5% of the auction, above last month’s 59.1% and also above the six-auction average of 69.5%. And with Directs taking down 20.7%, also above the recent average of 18.9%, Dealers were awarded a record low 16.8%.<\/p>\n<\/p>\n

With the auction coming in stronger than expected, it had little impact on the secondary market although although the post-Powell gust of profit- (and loss-) taking means that 10Y yields actually rose after the solid auction, with the 10Y last seen around 3.96%.<\/p>\n<\/div>\n

Tyler Durden<\/a><\/span>
\nTue, 03\/07\/2023 – 13:18<\/span><\/p>\n

From:Zerohedge<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Impressive 3Y Auction Stops Through, Record Low Dealers One month after a catastrophic 3Y auction priced with the biggest tail in the past decade and…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1184344","post","type-post","status-publish","format-standard","hentry","category-news","wpcat-1-id"],"_links":{"self":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1184344","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/comments?post=1184344"}],"version-history":[{"count":0,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1184344\/revisions"}],"wp:attachment":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media?parent=1184344"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/categories?post=1184344"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/tags?post=1184344"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}