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10-year TIPS auction of 20 July 2017 (new issue)

The 10-year TIPS sold $14.322 billion at a high real yield of 0.489% on , with a bid-to-cover ratio of 1.98.

Coupon
0.375%
Announced
Issued
Matures

Real yield

0.489%

Median real yield 0.400%

Bid-to-cover

1.98

▼ −0.58 since 18 May

Sold

$14.32 billion

$13 billion offered

Indirect bidders

52.5%

Of competitive bids accepted

Real yield at the last 36 10-year TIPS auctions

Real yield at each 10-year TIPS auction, %

Real yield at the last 36 10-year TIPS auctions36 auctions from 22 September 2011 to 20 July 2017; the latest at 0.489%.-1.0%-0.5%0.0%0.5%1.0%201220132014201520162017This auction, 0.489%Real yield at the last 36 10-year TIPS auctions36 auctions from 22 September 2011 to 20 July 2017; the latest at 0.489%.0.0%0.2%0.4%0.6%0.8%20142015201620170.489%

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

The 36 auctions as a table
Real yield and bid-to-cover of the last 36 10-year TIPS auctions, newest first
AuctionReal yield, %Bid-to-cover
0.4891.98
0.4202.56
0.4662.23
0.4362.45
0.3692.39
0.0522.59
0.0452.39
0.2752.27
0.3152.25
0.7252.19
0.6642.38
0.6002.36
0.4912.31
0.3582.33
0.2002.43
0.3152.39
0.4972.57
0.6102.20
0.2492.49
0.3392.91
0.6592.48
0.6612.31
0.5602.59
0.5002.38
0.3842.44
-0.2252.52
-0.6022.74
-0.6302.71
-0.7202.52
-0.7502.36
-0.6372.62
-0.3913.01
-0.0892.81
-0.0462.91
0.0992.64
0.0782.61

Against its own history

Against the previous 12 auctions of the 10-year TIPS
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio1.982.3712 of 120 of 12
High real yield0.4890.4284 of 128 of 12
Indirect bidders' share52.567.812 of 120 of 12
Direct bidders' share8.07.65 of 127 of 12
Primary dealers' share39.525.60 of 1212 of 12
High minus median, basis points8.96.82 of 1210 of 12

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

  • Bid-to-cover ratio: Lowest for a 10-year TIPS since 10 July 2008 (49 auctions in between).
  • Indirect bidders' share: Lowest for a 10-year TIPS since 20 March 2014 (19 auctions in between).
  • Primary dealers' share: Highest for a 10-year TIPS since 18 September 2014 (16 auctions in between).

Who bought the 10-year TIPS?

Indirect bidders took 52.5% of the competitive bids accepted

Share of competitive bids accepted, %. Grey: the previous 10-year TIPS auction, 18 May 2017

Indirect bidders took 52.5% of the competitive bids acceptedIndirect bidders 52.5%, Direct bidders 8.0%, Primary dealers 39.5%Indirect bidders52.5%80.3%Direct bidders8.0%8.4%Primary dealers39.5%11.3%Indirect bidders took 52.5% of the competitive bids acceptedIndirect bidders 52.5%, Direct bidders 8.0%, Primary dealers 39.5%Indirect bidders52.5%80.3%Direct bidders8.0%8.4%Primary dealers39.5%11.3%
The shares as a table
Shares of competitive bids accepted, %
BidderThis auctionPrevious
Indirect bidders52.580.3
Direct bidders8.08.4
Primary dealers39.511.3

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$13,000,000,000
Bids received$27,001,042,400
Sold$14,321,777,400
Competitive bids accepted$12,976,015,000
Non-competitive bids accepted$23,992,300
Federal Reserve (SOMA) add-on$1,321,770,100
Foreign and international (FIMA) non-competitive$0
Real yield, %0.489
Median rate, %0.400
Low rate, %0.320
Interest rate (coupon), %0.375
Bids at the high rate filled, %80.49
Bid-to-cover ratio1.98
Indirect bidders accepted$6,811,280,000
Direct bidders accepted$1,044,000,000
Primary dealers accepted$5,120,735,000
Indirect bidders' share, % (ours)52.5
Direct bidders' share, % (ours)8.0
Primary dealers' share, % (ours)39.5
High minus median, basis points (ours)8.9
Treasury real par yield curve, 10-year point, same day, %0.50
High yield minus that point, basis points (ours)-1.1

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

How to read this result

The high real 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 real par yield curve comparison sets the high yield against Treasury's own real 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 TIPS auctions: how many were higher and lower, and their median
MeasureThis auctionWindowHigherLowerMedian
Bid-to-cover ratio1.98Last 24 auctions24 of 240 of 242.39
Bid-to-cover ratio1.98Since 10 April 200850 of 511 of 512.49
Bid-to-cover ratio1.98All 79 since 29 January 199762 of 7917 of 792.38
High real yield0.489Last 24 auctions10 of 2414 of 240.428
High real yield0.489Since 10 April 200825 of 5126 of 510.466
High real yield0.489All 84 since 29 January 199758 of 8426 of 841.272
Indirect bidders' share52.5Last 24 auctions21 of 243 of 2464.4
Indirect bidders' share52.5All 51 since 10 April 200824 of 5127 of 5151.8
Direct bidders' share8.0Last 24 auctions10 of 2414 of 247.6
Direct bidders' share8.0All 51 since 10 April 200821 of 5130 of 517.5
Primary dealers' share39.5Last 24 auctions4 of 2420 of 2428.9
Primary dealers' share39.5All 51 since 10 April 200826 of 5125 of 5139.7
High minus median, basis points8.9Last 24 auctions4 of 2420 of 245.8
High minus median, basis points8.9Since 10 April 200811 of 5139 of 516.5
High minus median, basis points8.9All 84 since 29 January 199715 of 8468 of 845.4

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 20 July 2017. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2017/R_20170720_1.pdf. Compiled by 500metrics, "10-year TIPS auction of 20 July 2017 (new issue)", https://500metrics.com/treasury/auctions/10-year-tips/2017-07-20.

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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