500metrics

All sources checked Checked

2-year note auction of 23 July 2019 (new issue)

The 2-year note sold $41.589 billion at a high yield of 1.825% on , with a bid-to-cover ratio of 2.50.

Coupon
1.750%
Announced
Issued
Matures

High yield

1.825%

Median yield 1.800%

Bid-to-cover

2.50

▼ −0.08 since 25 Jun

Sold

$41.59 billion

$40 billion offered

Indirect bidders

43.5%

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 April 2016 to 23 July 2019; the latest at 1.825%.0.0%1.0%2.0%3.0%2016201720182019This auction, 1.825%High yield at the last 36 2-year note auctions36 auctions from 25 April 2016 to 23 July 2019; the latest at 1.825%.1.0%1.5%2.0%2.5%3.0%2017201820191.825%

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
1.8252.50
1.6952.58
2.1252.75
2.5032.50
2.6002.56
2.6192.31
2.8362.65
2.8802.67
2.8292.44
2.6552.89
2.6572.92
2.5382.73
2.5902.88
2.4982.61
2.3102.91
2.2552.72
2.0663.22
1.9222.52
1.7652.73
1.4622.88
1.3452.86
1.3953.06
1.3483.03
1.3162.90
1.2612.73
1.2302.82
1.2102.68
1.2802.44
1.0852.73
0.8552.53
0.7502.65
0.7602.83
0.7602.52
0.7452.72
0.9203.00
0.8422.64

Against its own history

Against the previous 12 auctions of the 2-year note
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio2.502.669 of 122 of 12
High yield1.8252.61011 of 121 of 12
Indirect bidders' share43.544.98 of 124 of 12
Direct bidders' share24.915.41 of 1211 of 12
Primary dealers' share31.641.39 of 123 of 12
High minus median, basis points2.53.07 of 124 of 12

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

Who bought the 2-year note?

Indirect bidders took 43.5% of the competitive bids accepted

Share of competitive bids accepted, %. Grey: the previous 2-year note auction, 25 June 2019

Indirect bidders took 43.5% of the competitive bids acceptedIndirect bidders 43.5%, Direct bidders 24.9%, Primary dealers 31.6%Indirect bidders43.5%48.5%Direct bidders24.9%24.2%Primary dealers31.6%27.3%Indirect bidders took 43.5% of the competitive bids acceptedIndirect bidders 43.5%, Direct bidders 24.9%, Primary dealers 31.6%Indirect bidders43.5%48.5%Direct bidders24.9%24.2%Primary dealers31.6%27.3%
The shares as a table
Shares of competitive bids accepted, %
BidderThis auctionPrevious
Indirect bidders43.548.5
Direct bidders24.924.2
Primary dealers31.627.3

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$40,000,000,000
Bids received$101,576,663,600
Sold$41,589,175,600
Competitive bids accepted$39,710,027,000
Non-competitive bids accepted$185,131,500
Federal Reserve (SOMA) add-on$1,589,017,100
Foreign and international (FIMA) non-competitive$105,000,000
High yield, %1.825
Median rate, %1.800
Low rate, %1.588
Interest rate (coupon), %1.750
Bids at the high rate filled, %32.14
Bid-to-cover ratio2.50
Indirect bidders accepted$17,265,892,000
Direct bidders accepted$9,898,000,000
Primary dealers accepted$12,546,135,000
Indirect bidders' share, % (ours)43.5
Direct bidders' share, % (ours)24.9
Primary dealers' share, % (ours)31.6
High minus median, basis points (ours)2.5
Treasury par yield curve, 2-year point, same day, %1.83
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 ratio2.50Last 24 auctions21 of 242 of 242.73
Bid-to-cover ratio2.50Since 23 April 2008114 of 12611 of 1263.08
Bid-to-cover ratio2.50All 225 since 27 October 1999145 of 22579 of 2252.70
High yield1.825Last 24 auctions16 of 248 of 242.282
High yield1.825Since 23 April 200822 of 126104 of 1260.760
High yield1.825All 459 since 23 January 1980342 of 459117 of 4594.886
Indirect bidders' share43.5Last 24 auctions17 of 247 of 2445.0
Indirect bidders' share43.5All 126 since 23 April 200839 of 12687 of 12636.7
Direct bidders' share24.9Last 24 auctions1 of 2423 of 2415.3
Direct bidders' share24.9All 126 since 23 April 200815 of 126111 of 12614.4
Primary dealers' share31.6Last 24 auctions17 of 247 of 2440.5
Primary dealers' share31.6All 126 since 23 April 2008111 of 12615 of 12647.5
High minus median, basis points2.5Last 24 auctions16 of 247 of 243.0
High minus median, basis points2.5Since 23 April 200867 of 12655 of 1262.6
High minus median, basis points2.5All 459 since 23 January 1980170 of 459276 of 4592.0

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 23 July 2019. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2019/R_20190723_1.pdf. Compiled by 500metrics, "2-year note auction of 23 July 2019 (new issue)", https://500metrics.com/treasury/auctions/2-year-note/2019-07-23.

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.