500metrics

All sources checked Checked

2-year note auction of 25 August 2020 (new issue)

The 2-year note sold $54.344 billion at a high yield of 0.155% on , with a bid-to-cover ratio of 2.78.

Coupon
0.125%
Announced
Issued
Matures

High yield

0.155%

Median yield 0.120%

Bid-to-cover

2.78

▲ +0.44 since 27 Jul

Sold

$54.34 billion

$50 billion offered

Indirect bidders

57.6%

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 26 June 2017 to 25 August 2020; the latest at 0.155%.0.0%1.0%2.0%3.0%2017201820192020This auction, 0.155%High yield at the last 36 2-year note auctions36 auctions from 26 June 2017 to 25 August 2020; the latest at 0.155%.0.0%1.0%2.0%3.0%2018201920200.155%

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
0.1552.78
0.1552.34
0.1932.46
0.1782.68
0.2293.10
0.3982.36
1.1882.45
1.4402.65
1.6532.30
1.6012.63
1.5942.70
1.6122.64
1.5162.60
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

Against its own history

Against the previous 12 auctions of the 2-year note
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio2.782.621 of 1211 of 12
High yield0.1551.31411 of 120 of 12
Indirect bidders' share57.650.50 of 1212 of 12
Direct bidders' share13.716.310 of 122 of 12
Primary dealers' share28.731.79 of 123 of 12
High minus median, basis points3.53.23 of 129 of 12

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

  • Indirect bidders' share: Highest for a 2-year note since 23 January 2018 (28 auctions in between).

Who bought the 2-year note?

Indirect bidders took 57.6% of the competitive bids accepted

Share of competitive bids accepted, %. Grey: the previous 2-year note auction, 27 July 2020

Indirect bidders took 57.6% of the competitive bids acceptedIndirect bidders 57.6%, Direct bidders 13.7%, Primary dealers 28.7%Indirect bidders57.6%45.8%Direct bidders13.7%14.8%Primary dealers28.7%39.3%Indirect bidders took 57.6% of the competitive bids acceptedIndirect bidders 57.6%, Direct bidders 13.7%, Primary dealers 28.7%Indirect bidders57.6%45.8%Direct bidders13.7%14.8%Primary dealers28.7%39.3%
The shares as a table
Shares of competitive bids accepted, %
BidderThis auctionPrevious
Indirect bidders57.645.8
Direct bidders13.714.8
Primary dealers28.739.3

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$50,000,000,000
Bids received$143,431,773,700
Sold$54,343,773,700
Competitive bids accepted$49,895,360,000
Non-competitive bids accepted$104,718,900
Federal Reserve (SOMA) add-on$4,343,694,800
Foreign and international (FIMA) non-competitive$0
High yield, %0.155
Median rate, %0.120
Low rate, %0.057
Interest rate (coupon), %0.125
Bids at the high rate filled, %30.00
Bid-to-cover ratio2.78
Indirect bidders accepted$28,756,360,000
Direct bidders accepted$6,827,000,000
Primary dealers accepted$14,312,000,000
Indirect bidders' share, % (ours)57.6
Direct bidders' share, % (ours)13.7
Primary dealers' share, % (ours)28.7
High minus median, basis points (ours)3.5
Treasury par yield curve, 2-year point, same day, %0.15
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 ratio2.78Last 24 auctions3 of 2421 of 242.62
Bid-to-cover ratio2.78Since 23 April 200889 of 13950 of 1393.04
Bid-to-cover ratio2.78All 238 since 27 October 1999102 of 238136 of 2382.69
High yield0.155Last 24 auctions23 of 240 of 241.674
High yield0.155Since 23 April 2008138 of 1390 of 1390.769
High yield0.155All 472 since 23 January 1980471 of 4720 of 4724.715
Indirect bidders' share57.6Last 24 auctions0 of 2424 of 2446.9
Indirect bidders' share57.6All 139 since 23 April 20084 of 139135 of 13938.3
Direct bidders' share13.7Last 24 auctions18 of 246 of 2416.3
Direct bidders' share13.7All 139 since 23 April 200879 of 13960 of 13914.6
Primary dealers' share28.7Last 24 auctions18 of 246 of 2432.4
Primary dealers' share28.7All 139 since 23 April 2008126 of 13913 of 13946.5
High minus median, basis points3.5Last 24 auctions6 of 2418 of 243.0
High minus median, basis points3.5Since 23 April 200843 of 13993 of 1392.8
High minus median, basis points3.5All 472 since 23 January 198093 of 472372 of 4722.0

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 25 August 2020. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2020/R_20200825_3.pdf. Compiled by 500metrics, "2-year note auction of 25 August 2020 (new issue)", https://500metrics.com/treasury/auctions/2-year-note/2020-08-25.

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.