500metrics

All sources checked Checked

2-year note auction of 20 June 2016 (new issue)

The 2-year note sold $29.793 billion at a high yield of 0.745% on , with a bid-to-cover ratio of 2.72.

Coupon
0.625%
Announced
Issued
Matures

High yield

0.745%

Median yield 0.700%

Bid-to-cover

2.72

▼ −0.28 since 24 May

Sold

$29.79 billion

$26 billion offered

Indirect bidders

47.4%

Of competitive bids accepted

High yield at the last 36 2-year note auctions

High yield at each 2-year note auction, %

High yield at the last 36 2-year note auctions36 auctions from 25 February 2013 to 20 June 2016; the latest at 0.745%.0.0%0.3%0.5%0.8%1.0%1.3%2013201420152016This auction, 0.745%High yield at the last 36 2-year note auctions36 auctions from 25 February 2013 to 20 June 2016; the latest at 0.745%.0.2%0.4%0.6%0.8%1.0%1.2%2014201520160.745%

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 2-year note auctions, newest first
AuctionHigh yield, %Bid-to-cover
0.7452.72
0.9203.00
0.8422.64
0.8772.58
0.8602.90
1.0562.80
0.9483.15
0.6903.42
0.6923.28
0.5403.30
0.5983.46
0.6033.45
0.5403.74
0.7033.21
0.5423.71
0.4253.11
0.5893.56
0.5303.48
0.5443.22
0.5113.23
0.3923.52
0.4473.35
0.4693.20
0.3403.60
0.3803.30
0.3453.77
0.3003.54
0.3233.32
0.3483.09
0.3863.21
0.3363.08
0.4303.05
0.2833.04
0.2333.63
0.2553.27
0.2573.33

Against its own history

Against the previous 12 auctions of the 2-year note
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio2.723.2210 of 122 of 12
High yield0.7450.7676 of 126 of 12
Indirect bidders' share47.447.87 of 125 of 12
Direct bidders' share9.914.911 of 121 of 12
Primary dealers' share42.736.61 of 1211 of 12
High minus median, basis points4.53.41 of 1211 of 12

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

Who bought the 2-year note?

Indirect bidders took 47.4% of the competitive bids accepted

Share of competitive bids accepted, %. Grey: the previous 2-year note auction, 24 May 2016

Indirect bidders took 47.4% of the competitive bids acceptedIndirect bidders 47.4%, Direct bidders 9.9%, Primary dealers 42.7%Indirect bidders47.4%49.8%Direct bidders9.9%32.5%Primary dealers42.7%17.7%Indirect bidders took 47.4% of the competitive bids acceptedIndirect bidders 47.4%, Direct bidders 9.9%, Primary dealers 42.7%Indirect bidders47.4%49.8%Direct bidders9.9%32.5%Primary dealers42.7%17.7%
The shares as a table
Shares of competitive bids accepted, %
BidderThis auctionPrevious
Indirect bidders47.449.8
Direct bidders9.932.5
Primary dealers42.717.7

About these figures

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

Treasury's published result

FieldValue
Offered as2-Year, new issue
Offering amount$26,000,000,000
Bids received$74,471,780,800
Sold$29,792,960,800
Competitive bids accepted$25,861,780,000
Non-competitive bids accepted$138,285,400
Federal Reserve (SOMA) add-on$3,792,895,400
Foreign and international (FIMA) non-competitive$0
High yield, %0.745
Median rate, %0.700
Low rate, %0.388
Interest rate (coupon), %0.625
Bids at the high rate filled, %57.37
Bid-to-cover ratio2.72
Indirect bidders accepted$12,247,395,000
Direct bidders accepted$2,565,000,000
Primary dealers accepted$11,049,385,000
Indirect bidders' share, % (ours)47.4
Direct bidders' share, % (ours)9.9
Primary dealers' share, % (ours)42.7
High minus median, basis points (ours)4.5
Treasury par yield curve, 2-year point, same day, %0.74
High yield minus that point, basis points (ours)0.5

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 (2-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 2-year note auctions: how many were higher and lower, and their median
MeasureThis auctionWindowHigherLowerMedian
Bid-to-cover ratio2.72Last 24 auctions22 of 242 of 243.29
Bid-to-cover ratio2.72Since 23 April 200877 of 9315 of 933.27
Bid-to-cover ratio2.72All 192 since 27 October 199991 of 192100 of 1922.69
High yield0.745Last 24 auctions6 of 2418 of 240.566
High yield0.745Since 23 April 200833 of 9359 of 930.544
High yield0.745All 426 since 23 January 1980366 of 42659 of 4265.135
Indirect bidders' share47.4Last 24 auctions7 of 2417 of 2440.4
Indirect bidders' share47.4All 93 since 23 April 200812 of 9381 of 9334.3
Direct bidders' share9.9Last 24 auctions23 of 241 of 2416.2
Direct bidders' share9.9All 93 since 23 April 200865 of 9328 of 9314.4
Primary dealers' share42.7Last 24 auctions12 of 2412 of 2442.8
Primary dealers' share42.7All 93 since 23 April 200874 of 9319 of 9351.1
High minus median, basis points4.5Last 24 auctions1 of 2423 of 242.3
High minus median, basis points4.5Since 23 April 200813 of 9380 of 932.3
High minus median, basis points4.5All 426 since 23 January 198039 of 426384 of 4262.0

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 20 June 2016. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2016/R_20160620_3.pdf. Compiled by 500metrics, "2-year note auction of 20 June 2016 (new issue)", https://500metrics.com/treasury/auctions/2-year-note/2016-06-20.

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

Our text and compilation: CC BY 4.0. How to reuse and cite this page.