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10-year note auction of 12 October 2016 (reopening)

The 10-year note sold $20 billion at a high yield of 1.793% on , with a bid-to-cover ratio of 2.53.

Coupon
1.500%
Announced
Issued
Matures

High yield

1.793%

Median yield 1.749%

Bid-to-cover

2.53

▲ +0.18 since 12 Sep

Sold

$20.00 billion

$20 billion offered

Indirect bidders

62.7%

Of competitive bids accepted

High yield at the last 36 10-year note auctions

High yield at each 10-year note auction, %

High yield at the last 36 10-year note auctions36 auctions from 13 November 2013 to 12 October 2016; the latest at 1.793%.1.5%2.0%2.5%3.0%3.5%201420152016This auction, 1.793%High yield at the last 36 10-year note auctions36 auctions from 13 November 2013 to 12 October 2016; the latest at 1.793%.1.5%1.8%2.0%2.3%2.5%201520161.793%

Source: U.S. Treasury, Bureau of the Fiscal Service, Fiscal Data, Treasury Securities Auctions Data. Observed .

The 36 auctions as a table
High yield and bid-to-cover of the last 36 10-year note auctions, newest first
AuctionHigh yield, %Bid-to-cover
1.7932.53
1.6992.35
1.5032.43
1.5162.33
1.7022.70
1.7102.68
1.7652.75
1.8952.49
1.7302.56
2.0902.77
2.2332.64
2.3042.58
2.0662.59
2.2352.70
2.1152.40
2.2252.72
2.4612.74
2.2372.72
1.9252.62
2.1392.65
2.0002.62
1.9302.61
2.2142.97
2.3652.52
2.3812.52
2.5352.71
2.4392.83
2.5972.57
2.6482.88
2.6122.63
2.7202.76
2.7292.92
2.7952.54
3.0092.68
2.8242.61
2.7502.70

Against its own history

Against the previous 12 auctions of the 10-year note
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio2.532.588 of 124 of 12
High yield1.7931.7485 of 127 of 12
Indirect bidders' share62.762.24 of 128 of 12
Direct bidders' share6.611.211 of 121 of 12
Primary dealers' share30.625.03 of 129 of 12
High minus median, basis points4.44.46 of 126 of 12

The table scrolls sideways; the first column stays in place.

Who bought the 10-year note?

Indirect bidders took 62.7% of the competitive bids accepted

Share of competitive bids accepted, %. Grey: the previous 10-year note auction, 12 September 2016

Indirect bidders took 62.7% of the competitive bids acceptedIndirect bidders 62.7%, Direct bidders 6.6%, Primary dealers 30.6%Indirect bidders62.7%62.1%Direct bidders6.6%3.4%Primary dealers30.6%34.5%Indirect bidders took 62.7% of the competitive bids acceptedIndirect bidders 62.7%, Direct bidders 6.6%, Primary dealers 30.6%Indirect bidders62.7%62.1%Direct bidders6.6%3.4%Primary dealers30.6%34.5%
The shares as a table
Shares of competitive bids accepted, %
BidderThis auctionPrevious
Indirect bidders62.762.1
Direct bidders6.63.4
Primary dealers30.634.5

About these figures

Treasury's full result, how to read it, its limits and sources

Treasury's published result

FieldValue
Offered as9-Year 10-Month, reopening
Offering amount$20,000,000,000
Bids received$50,553,133,600
Sold$20,000,021,100
Competitive bids accepted$19,991,812,500
Non-competitive bids accepted$8,208,600
Federal Reserve (SOMA) add-on$0
Foreign and international (FIMA) non-competitive$0
High yield, %1.793
Median rate, %1.749
Low rate, %1.650
Interest rate (coupon), %1.500
Bids at the high rate filled, %45.15
Bid-to-cover ratio2.53
Indirect bidders accepted$12,541,012,500
Direct bidders accepted$1,325,150,000
Primary dealers accepted$6,125,650,000
Indirect bidders' share, % (ours)62.7
Direct bidders' share, % (ours)6.6
Primary dealers' share, % (ours)30.6
High minus median, basis points (ours)4.4
Treasury par yield curve, 10-year point, same day, %1.79
High yield minus that point, basis points (ours)0.3

Treasury's own files: announcement (PDF) · results (PDF)

How to read this result

The high yield is the highest rate Treasury accepted; every winning bidder gets it. The bid-to-cover ratio is bids received divided by the amount sold. Shares are of competitive bids accepted. High minus median shows how far the accepted cut-off sat above the middle accepted bid; it is not the market's auction tail, which needs a when-issued price that is not public.

The par yield curve comparison sets the high yield against Treasury's own par yield curve on the auction day, at the point nearest this security's maturity (10-year). Treasury fixes that curve from market quotes in the late afternoon, after the auction closed, so the gap mixes the auction's pricing with the afternoon's market move. It is not the auction tail either.

What this number cannot tell you

  • Why it sold where it did. Results show what was bid and accepted, not the reasons behind any bid.
  • The auction tail as markets quote it. That compares the high yield with the when-issued yield just before bids closed, a market price that is not public; we show high minus median instead, a different measure.
  • Who the bidders are. Indirect bidders include foreign and international accounts bidding through the New York Fed and investors bidding through dealers; Treasury does not publish names.
  • Demand on another day. A bid-to-cover ratio counts bids at one auction against the amount offered, and the amount offered changes from auction to auction.

The longer windows

Each measure against earlier 10-year note auctions: how many were higher and lower, and their median
MeasureThis auctionWindowHigherLowerMedian
Bid-to-cover ratio2.53Last 24 auctions17 of 247 of 242.62
Bid-to-cover ratio2.53Since 7 May 200879 of 10323 of 1032.70
Bid-to-cover ratio2.53All 157 since 10 November 199995 of 15760 of 1572.62
High yield1.793Last 24 auctions17 of 247 of 242.078
High yield1.793Since 7 May 200889 of 10314 of 1032.597
High yield1.793All 239 since 31 October 1979225 of 23914 of 2394.280
Indirect bidders' share62.7Last 24 auctions4 of 2420 of 2459.7
Indirect bidders' share62.7All 103 since 7 May 20085 of 10398 of 10343.4
Direct bidders' share6.6Last 24 auctions22 of 242 of 2411.2
Direct bidders' share6.6All 103 since 7 May 200877 of 10326 of 10311.3
Primary dealers' share30.6Last 24 auctions10 of 2414 of 2429.2
Primary dealers' share30.6All 103 since 7 May 200883 of 10320 of 10341.0
High minus median, basis points4.4Last 24 auctions8 of 2416 of 244.0
High minus median, basis points4.4Since 7 May 200844 of 10357 of 1034.2
High minus median, basis points4.4All 239 since 31 October 197957 of 239180 of 2393.0

The table scrolls sideways; the first column stays in place.

Sources

Source: U.S. Treasury, Bureau of the Fiscal Service, Fiscal Data, Treasury Securities Auctions Data. Observed .

Shares of competitive bids, grades against earlier auctions and the high-minus-median spread are computed by 500metrics from Treasury's published fields; how.

Source: U.S. Treasury, Daily Treasury par yield curve rates. Observed .

How to cite this

U.S. Treasury, Bureau of the Fiscal Service, Fiscal Data, Treasury Securities Auctions Data, auction of 12 October 2016. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2016/R_20161012_2.pdf. Compiled by 500metrics, "10-year note auction of 12 October 2016 (reopening)", https://500metrics.com/treasury/auctions/10-year-note/2016-10-12.

Sources and licence

Sources and licence

  • U.S. Treasury, Bureau of the Fiscal Service, Fiscal Data (source). Licence: Public domain, a work of the US federal government
  • U.S. Treasury, daily par yield curve rates (source). Licence: Public domain, a work of the US federal government

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