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10-year note auction of 9 November 2016 (new issue)

The 10-year note sold $28.035 billion at a high yield of 2.020% on , with a bid-to-cover ratio of 2.22.

Coupon
2.000%
Announced
Issued
Matures

High yield

2.020%

Median yield 1.950%

Bid-to-cover

2.22

▼ −0.31 since 12 Oct

Sold

$28.04 billion

$23 billion offered

Indirect bidders

52.5%

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 11 December 2013 to 9 November 2016; the latest at 2.020%.1.5%2.0%2.5%3.0%3.5%201420152016This auction, 2.020%High yield at the last 36 10-year note auctions36 auctions from 11 December 2013 to 9 November 2016; the latest at 2.020%.1.5%1.8%2.0%2.3%2.5%201520162.020%

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
2.0202.22
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

Against its own history

Against the previous 12 auctions of the 10-year note
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio2.222.5712 of 120 of 12
High yield2.0201.7483 of 129 of 12
Indirect bidders' share52.562.212 of 120 of 12
Direct bidders' share8.311.27 of 125 of 12
Primary dealers' share39.225.00 of 1212 of 12
High minus median, basis points7.04.30 of 1212 of 12

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

  • Bid-to-cover ratio: Lowest for a 10-year note since 11 March 2009 (91 auctions in between).
  • Indirect bidders' share: Lowest for a 10-year note since 13 January 2015 (21 auctions in between).
  • Primary dealers' share: Highest for a 10-year note since 13 January 2015 (21 auctions in between).
  • High minus median, basis points: Highest for a 10-year note since 12 October 2011 (60 auctions in between).

Who bought the 10-year note?

Indirect bidders took 52.5% of the competitive bids accepted

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

Indirect bidders took 52.5% of the competitive bids acceptedIndirect bidders 52.5%, Direct bidders 8.3%, Primary dealers 39.2%Indirect bidders52.5%62.7%Direct bidders8.3%6.6%Primary dealers39.2%30.6%Indirect bidders took 52.5% of the competitive bids acceptedIndirect bidders 52.5%, Direct bidders 8.3%, Primary dealers 39.2%Indirect bidders52.5%62.7%Direct bidders8.3%6.6%Primary dealers39.2%30.6%
The shares as a table
Shares of competitive bids accepted, %
BidderThis auctionPrevious
Indirect bidders52.562.7
Direct bidders8.36.6
Primary dealers39.230.6

About these figures

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

Treasury's published result

FieldValue
Offered as10-Year, new issue
Offering amount$23,000,000,000
Bids received$56,049,340,900
Sold$28,035,256,900
Competitive bids accepted$22,979,766,000
Non-competitive bids accepted$20,302,400
Federal Reserve (SOMA) add-on$5,035,188,500
Foreign and international (FIMA) non-competitive$0
High yield, %2.020
Median rate, %1.950
Low rate, %1.850
Interest rate (coupon), %2.000
Bids at the high rate filled, %15.58
Bid-to-cover ratio2.22
Indirect bidders accepted$12,061,905,000
Direct bidders accepted$1,917,558,000
Primary dealers accepted$9,000,303,000
Indirect bidders' share, % (ours)52.5
Direct bidders' share, % (ours)8.3
Primary dealers' share, % (ours)39.2
High minus median, basis points (ours)7.0
Treasury par yield curve, 10-year point, same day, %2.07
High yield minus that point, basis points (ours)-5.0

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 ratio2.22Last 24 auctions24 of 240 of 242.62
Bid-to-cover ratio2.22Since 7 May 200898 of 1046 of 1042.70
Bid-to-cover ratio2.22All 158 since 10 November 1999131 of 15827 of 1582.62
High yield2.020Last 24 auctions12 of 2412 of 242.033
High yield2.020Since 7 May 200877 of 10425 of 1042.566
High yield2.020All 240 since 31 October 1979213 of 24025 of 2404.275
Indirect bidders' share52.5Last 24 auctions22 of 242 of 2460.1
Indirect bidders' share52.5All 104 since 7 May 200830 of 10474 of 10443.7
Direct bidders' share8.3Last 24 auctions17 of 247 of 2411.2
Direct bidders' share8.3All 104 since 7 May 200868 of 10436 of 10411.2
Primary dealers' share39.2Last 24 auctions3 of 2421 of 2429.2
Primary dealers' share39.2All 104 since 7 May 200861 of 10443 of 10440.9
High minus median, basis points7.0Last 24 auctions0 of 2424 of 244.0
High minus median, basis points7.0Since 7 May 200814 of 10489 of 1044.2
High minus median, basis points7.0All 240 since 31 October 197918 of 240220 of 2403.0

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 9 November 2016. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2016/R_20161109_1.pdf. Compiled by 500metrics, "10-year note auction of 9 November 2016 (new issue)", https://500metrics.com/treasury/auctions/10-year-note/2016-11-09.

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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