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7-year note auction of 26 April 2012 (new issue)

The 7-year note sold $29.779 billion at a high yield of 1.347% on , with a bid-to-cover ratio of 2.83.

Coupon
1.250%
Announced
Issued
Matures

High yield

1.347%

Median yield 1.307%

Bid-to-cover

2.83

▲ +0.11 since 29 Mar

Sold

$29.78 billion

$29 billion offered

Indirect bidders

38.2%

Of competitive bids accepted

The high yield was the lowest for a 7-year note of all 87 earlier auctions we hold

High yield at each 7-year note auction, %

The high yield was the lowest for a 7-year note of all 87 earlier auctions we hold36 auctions from 28 May 2009 to 26 April 2012; the latest at 1.347%.1.0%2.0%3.0%4.0%2009201020112012This auction, 1.347%The high yield was the lowest for a 7-year note of all 87 earlier auctions we hold36 auctions from 28 May 2009 to 26 April 2012; the latest at 1.347%.1.0%1.5%2.0%2.5%3.0%2010201120121.347%

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 7-year note auctions, newest first
AuctionHigh yield, %Bid-to-cover
1.3472.83
1.5902.72
1.4183.11
1.3592.73
1.4302.68
1.4153.20
1.7912.59
1.4963.02
1.5802.76
2.2802.63
2.4302.62
2.4293.24
2.7122.63
2.8952.79
2.8542.86
2.7442.85
2.8302.86
2.2532.63
1.9703.06
1.8903.04
1.9892.98
2.3942.78
2.5753.01
2.8152.88
3.2102.82
3.3742.61
3.0782.98
3.1272.85
3.3452.72
2.8352.76
3.1412.65
3.0052.79
3.0922.74
3.3692.63
3.3292.82
3.3002.26

Against its own history

Against the previous 12 auctions of the 7-year note
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio2.832.724 of 128 of 12
High yield1.3471.58512 of 120 of 12
Indirect bidders' share38.240.89 of 123 of 12
Direct bidders' share17.612.42 of 1210 of 12
Primary dealers' share44.144.97 of 125 of 12
High minus median, basis points4.05.89 of 123 of 12

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

Who bought the 7-year note?

Primary dealers took 44.1% of the competitive bids accepted

Share of competitive bids accepted, %. Grey: the previous 7-year note auction, 29 March 2012

Primary dealers took 44.1% of the competitive bids acceptedIndirect bidders 38.2%, Direct bidders 17.6%, Primary dealers 44.1%Indirect bidders38.2%42.8%Direct bidders17.6%13.4%Primary dealers44.1%43.8%Primary dealers took 44.1% of the competitive bids acceptedIndirect bidders 38.2%, Direct bidders 17.6%, Primary dealers 44.1%Indirect bidders38.2%42.8%Direct bidders17.6%13.4%Primary dealers44.1%43.8%
The shares as a table
Shares of competitive bids accepted, %
BidderThis auctionPrevious
Indirect bidders38.242.8
Direct bidders17.613.4
Primary dealers44.143.8

About these figures

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

Treasury's published result

FieldValue
Offered as7-Year, new issue
Offering amount$29,000,000,000
Bids received$82,924,533,400
Sold$29,779,201,400
Competitive bids accepted$28,963,068,000
Non-competitive bids accepted$11,979,600
Federal Reserve (SOMA) add-on$779,153,800
Foreign and international (FIMA) non-competitive$25,000,000
High yield, %1.347
Median rate, %1.307
Low rate, %1.250
Interest rate (coupon), %1.250
Bids at the high rate filled, %64.06
Bid-to-cover ratio2.83
Indirect bidders accepted$11,075,520,000
Direct bidders accepted$5,110,000,000
Primary dealers accepted$12,777,548,000
Indirect bidders' share, % (ours)38.2
Direct bidders' share, % (ours)17.6
Primary dealers' share, % (ours)44.1
High minus median, basis points (ours)4.0
Treasury par yield curve, 7-year point, same day, %1.36
High yield minus that point, basis points (ours)-1.3

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 (7-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 7-year note auctions: how many were higher and lower, and their median
MeasureThis auctionWindowHigherLowerMedian
Bid-to-cover ratio2.83Last 24 auctions12 of 2412 of 242.84
Bid-to-cover ratio2.83All 38 since 26 February 200914 of 3824 of 382.77
High yield1.347Last 24 auctions24 of 240 of 242.266
High yield1.347Since 26 February 200938 of 380 of 382.671
High yield1.347All 87 since 6 February 198087 of 870 of 877.040
Indirect bidders' share38.2Last 24 auctions21 of 243 of 2445.2
Indirect bidders' share38.2All 38 since 26 February 200932 of 386 of 3846.2
Direct bidders' share17.6Last 24 auctions2 of 2422 of 2410.6
Direct bidders' share17.6All 38 since 26 February 20092 of 3836 of 388.7
Primary dealers' share44.1Last 24 auctions11 of 2413 of 2443.0
Primary dealers' share44.1All 38 since 26 February 200917 of 3821 of 3842.3
High minus median, basis points4.0Last 24 auctions17 of 245 of 245.8
High minus median, basis points4.0Since 26 February 200928 of 388 of 386.4
High minus median, basis points4.0All 87 since 6 February 198033 of 8748 of 873.0

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 26 April 2012. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2012/R_20120426_1.pdf. Compiled by 500metrics, "7-year note auction of 26 April 2012 (new issue)", https://500metrics.com/treasury/auctions/7-year-note/2012-04-26.

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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