{"id":1440799,"date":"2023-11-27T16:43:43","date_gmt":"2023-11-27T21:43:43","guid":{"rendered":"https:\/\/bugaluu.com\/news\/?p=1440799"},"modified":"2023-11-27T16:43:43","modified_gmt":"2023-11-27T21:43:43","slug":"lousy-tailing-2y-auction-sees-fewest-foreign-buyers-since-march","status":"publish","type":"post","link":"https:\/\/bugaluu.com\/news\/lousy-tailing-2y-auction-sees-fewest-foreign-buyers-since-march\/1440799\/","title":{"rendered":"Lousy, Tailing 2Y Auction Sees Fewest Foreign Buyers Since March"},"content":{"rendered":"

Lousy, Tailing 2Y Auction Sees Fewest Foreign Buyers Since March<\/span><\/p>\n

\n

In the first of the day’s two auctions courtesy of a truncated issuance schedule, moments ago the US Treasury sold $54BN in 2Y paper (5Y auction to follow in a few hours), in what was a lousy auction.<\/p>\n

The high yield of 4.887% was down from last month’s 5.055% and the lowest since July’s 4.823%, however the auction tailed the When Issued 4.876% by 1.1 bps, the first tail since July and followed two “on the screws” auctions in September and October.<\/p>\n

The bid to cover of 2.54 was below last month’s 2.64 and was the lowest since March 2023 and clearly far below the six-auction average of 2.81%.<\/p>\n

The internals were even uglier, with Indirects (foreign buyers) sliding to just 57.4%, down from 62.1% in October and the lowest since March (and far below the recent average of 65.7%). And with Directs awarded 23.4% (the highest <\/em>since March), Dealers were left holding 18.8%, of the auction, the highest since April.<\/p>\n

Overall, this was a lousy, tailing auction where foreign buyers continued to pull back, forcing both directs and dealers to pick up the slack.<\/p>\n

<\/a><\/p>\n

What is surprising is that whereas a less ugly TIPS auction last week sent yields spiking, today there has been virtually no adverse market reaction to what was unquestionably an ugly 2Y sale.<\/p>\n<\/div>\n

Tyler Durden<\/a><\/span>
\nMon, 11\/27\/2023 – 11:43<\/span><\/p>\n

\u200bhttps:\/\/www.zerohedge.com\/markets\/lousy-tailing-2y-auction-sees-fewest-foreign-buyers-march<\/a>\u00a0<\/p>\n

\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"

Lousy, Tailing 2Y Auction Sees Fewest Foreign Buyers Since March In the first of the day’s two auctions courtesy of a truncated issuance schedule, moments…<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1440799","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\/1440799","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"}],"replies":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/comments?post=1440799"}],"version-history":[{"count":0,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1440799\/revisions"}],"wp:attachment":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media?parent=1440799"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/categories?post=1440799"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/tags?post=1440799"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}