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5-year note auction of 25 October 2017 (new issue)

The 5-year note sold $34.85 billion at a high yield of 2.058% on , with a bid-to-cover ratio of 2.44.

Coupon
2.000%
Announced
Issued
Matures

High yield

2.058%

Median yield 2.004%

Bid-to-cover

2.44

▼ −0.30 since 24 Oct

Sold

$34.85 billion

$34 billion offered

Indirect bidders

61.6%

Of competitive bids accepted

The high yield was the highest for a 5-year note since 27 April 2011

High yield at each 5-year note auction, %

The high yield was the highest for a 5-year note since 27 April 201136 auctions from 26 May 2015 to 25 October 2017; the latest at 2.058%.0.5%1.0%1.5%2.0%2.5%201520162017This auction, 2.058%The high yield was the highest for a 5-year note since 27 April 201136 auctions from 26 May 2015 to 25 October 2017; the latest at 2.058%.0.5%1.0%1.5%2.0%2.5%201620172.058%

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 5-year note auctions, newest first
AuctionHigh yield, %Bid-to-cover
2.0582.44
1.5962.74
1.9112.52
1.7422.58
1.8842.58
1.8282.33
1.8312.67
1.8752.34
1.9502.37
1.9372.29
1.9882.38
2.0572.72
1.7602.44
1.3032.49
1.1292.39
1.1252.54
1.1802.27
1.2182.29
1.3952.60
1.4102.41
1.3352.38
1.1692.44
0.7522.91
1.4962.44
1.7852.32
1.6702.52
0.8243.01
1.4152.43
1.4672.57
0.6993.27
1.4632.34
0.6633.16
1.6252.58
1.7102.39
1.5602.46
0.6483.40

Against its own history

Against the previous 12 auctions of the 5-year note
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio2.442.486 of 125 of 12
High yield2.0581.8800 of 1212 of 12
Indirect bidders' share61.666.98 of 124 of 12
Direct bidders' share11.06.62 of 1210 of 12
Primary dealers' share27.426.05 of 127 of 12
High minus median, basis points5.44.85 of 127 of 12

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

Who bought the 5-year note?

Indirect bidders took 61.6% of the competitive bids accepted

Share of competitive bids accepted, %. Grey: the previous 5-year note auction, 24 October 2017

Indirect bidders took 61.6% of the competitive bids acceptedIndirect bidders 61.6%, Direct bidders 11.0%, Primary dealers 27.4%Indirect bidders61.6%48.2%Direct bidders11.0%14.1%Primary dealers27.4%37.7%Indirect bidders took 61.6% of the competitive bids acceptedIndirect bidders 61.6%, Direct bidders 11.0%, Primary dealers 27.4%Indirect bidders61.6%48.2%Direct bidders11.0%14.1%Primary dealers27.4%37.7%
The shares as a table
Shares of competitive bids accepted, %
BidderThis auctionPrevious
Indirect bidders61.648.2
Direct bidders11.014.1
Primary dealers27.437.7

About these figures

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

Treasury's published result

FieldValue
Offered as5-Year, new issue
Offering amount$34,000,000,000
Bids received$83,919,776,900
Sold$34,850,476,900
Competitive bids accepted$33,948,068,000
Non-competitive bids accepted$51,943,400
Federal Reserve (SOMA) add-on$850,465,500
Foreign and international (FIMA) non-competitive$0
High yield, %2.058
Median rate, %2.004
Low rate, %1.950
Interest rate (coupon), %2.000
Bids at the high rate filled, %77.08
Bid-to-cover ratio2.44
Indirect bidders accepted$20,899,368,000
Direct bidders accepted$3,750,000,000
Primary dealers accepted$9,298,700,000
Indirect bidders' share, % (ours)61.6
Direct bidders' share, % (ours)11.0
Primary dealers' share, % (ours)27.4
High minus median, basis points (ours)5.4
Treasury par yield curve, 5-year point, same day, %2.06
High yield minus that point, basis points (ours)-0.2

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 (5-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 5-year note auctions: how many were higher and lower, and their median
MeasureThis auctionWindowHigherLowerMedian
Bid-to-cover ratio2.44Last 24 auctions10 of 2411 of 242.44
Bid-to-cover ratio2.44Since 24 April 200883 of 11831 of 1182.60
Bid-to-cover ratio2.44All 195 since 28 September 1994114 of 19577 of 1952.52
High yield2.058Last 24 auctions0 of 2424 of 241.669
High yield2.058Since 24 April 200825 of 11893 of 1181.588
High yield2.058All 291 since 24 January 1991198 of 29193 of 2913.663
Indirect bidders' share61.6Last 24 auctions12 of 2412 of 2462.4
Indirect bidders' share61.6All 118 since 24 April 200817 of 118101 of 11847.7
Direct bidders' share11.0Last 24 auctions3 of 2421 of 246.9
Direct bidders' share11.0All 118 since 24 April 200834 of 11884 of 1189.4
Primary dealers' share27.4Last 24 auctions14 of 2410 of 2432.7
Primary dealers' share27.4All 118 since 24 April 2008104 of 11814 of 11841.1
High minus median, basis points5.4Last 24 auctions7 of 2417 of 245.0
High minus median, basis points5.4Since 24 April 200836 of 11881 of 1184.6
High minus median, basis points5.4All 291 since 24 January 199141 of 291249 of 2913.1

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 October 2017. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2017/R_20171025_2.pdf. Compiled by 500metrics, "5-year note auction of 25 October 2017 (new issue)", https://500metrics.com/treasury/auctions/5-year-note/2017-10-25.

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

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