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7-year note auction of 23 November 2021 (new issue)

The 7-year note sold $63.863 billion at a high yield of 1.588% on , with a bid-to-cover ratio of 2.42.

Coupon
1.500%
Announced
Issued
Matures

High yield

1.588%

Median yield 1.532%

Bid-to-cover

2.42

▲ +0.17 since 28 Oct

Sold

$63.86 billion

$59 billion offered

Indirect bidders

59.3%

Of competitive bids accepted

The high yield was the highest for a 7-year note since 26 December 2019

High yield at each 7-year note auction, %

The high yield was the highest for a 7-year note since 26 December 201936 auctions from 27 March 2019 to 23 November 2021; the latest at 1.588%.0.0%0.5%1.0%1.5%2.0%2.5%201920202021This auction, 1.588%The high yield was the highest for a 7-year note since 26 December 201936 auctions from 27 March 2019 to 23 November 2021; the latest at 1.588%.0.0%0.5%1.0%1.5%2.0%202020211.588%

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
1.5882.42
1.4612.25
1.3322.24
1.1552.34
1.0502.23
1.2642.36
1.2852.41
1.3062.31
1.3002.23
1.1952.04
0.7542.30
0.6622.31
0.6532.37
0.6002.24
0.4622.42
0.5192.47
0.4462.45
0.5112.49
0.5532.55
0.5252.56
0.6802.76
1.2472.49
1.5702.37
1.8352.47
1.7192.44
1.6572.46
1.6332.49
1.4892.16
1.9672.27
1.8892.44
2.1442.30
2.0652.38
2.4262.49
2.3552.51
2.2812.54
2.1722.35

Against its own history

Against the previous 12 auctions of the 7-year note
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio2.422.300 of 1212 of 12
High yield1.5881.2300 of 1212 of 12
Indirect bidders' share59.360.08 of 124 of 12
Direct bidders' share23.319.50 of 1212 of 12
Primary dealers' share17.419.911 of 121 of 12
High minus median, basis points5.65.66 of 125 of 12

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

  • Bid-to-cover ratio: Highest for a 7-year note since 24 September 2020 (13 auctions in between).
  • Direct bidders' share: Highest for a 7-year note since 26 December 2019 (22 auctions in between).

Who bought the 7-year note?

Indirect bidders took 59.3% of the competitive bids accepted

Share of competitive bids accepted, %. Grey: the previous 7-year note auction, 28 October 2021

Indirect bidders took 59.3% of the competitive bids acceptedIndirect bidders 59.3%, Direct bidders 23.3%, Primary dealers 17.4%Indirect bidders59.3%63.9%Direct bidders23.3%19.5%Primary dealers17.4%16.6%Indirect bidders took 59.3% of the competitive bids acceptedIndirect bidders 59.3%, Direct bidders 23.3%, Primary dealers 17.4%Indirect bidders59.3%63.9%Direct bidders23.3%19.5%Primary dealers17.4%16.6%
The shares as a table
Shares of competitive bids accepted, %
BidderThis auctionPrevious
Indirect bidders59.363.9
Direct bidders23.319.5
Primary dealers17.416.6

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$59,000,000,000
Bids received$147,877,412,300
Sold$63,862,990,700
Competitive bids accepted$58,977,844,400
Non-competitive bids accepted$22,156,700
Federal Reserve (SOMA) add-on$4,862,989,600
Foreign and international (FIMA) non-competitive$0
High yield, %1.588
Median rate, %1.532
Low rate, %0.888
Interest rate (coupon), %1.500
Bids at the high rate filled, %92.14
Bid-to-cover ratio2.42
Indirect bidders accepted$34,970,290,400
Direct bidders accepted$13,730,200,000
Primary dealers accepted$10,277,354,000
Indirect bidders' share, % (ours)59.3
Direct bidders' share, % (ours)23.3
Primary dealers' share, % (ours)17.4
High minus median, basis points (ours)5.6
Treasury par yield curve, 7-year point, same day, %1.58
High yield minus that point, basis points (ours)0.8

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 ratio2.42Last 24 auctions9 of 2414 of 242.37
Bid-to-cover ratio2.42All 162 since 26 February 2009124 of 16236 of 1622.54
High yield1.588Last 24 auctions2 of 2422 of 241.102
High yield1.588Since 26 February 2009112 of 16250 of 1622.016
High yield1.588All 211 since 6 February 1980161 of 21150 of 2112.221
Indirect bidders' share59.3Last 24 auctions19 of 245 of 2461.7
Indirect bidders' share59.3All 162 since 26 February 200965 of 16297 of 16256.6
Direct bidders' share23.3Last 24 auctions1 of 2423 of 2416.9
Direct bidders' share23.3All 162 since 26 February 20099 of 162153 of 16213.7
Primary dealers' share17.4Last 24 auctions21 of 243 of 2420.9
Primary dealers' share17.4All 162 since 26 February 2009149 of 16213 of 16231.2
High minus median, basis points5.6Last 24 auctions8 of 2415 of 245.4
High minus median, basis points5.6Since 26 February 200938 of 162121 of 1624.6
High minus median, basis points5.6All 211 since 6 February 198042 of 211166 of 2114.1

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 23 November 2021. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2021/R_20211123_3.pdf. Compiled by 500metrics, "7-year note auction of 23 November 2021 (new issue)", https://500metrics.com/treasury/auctions/7-year-note/2021-11-23.

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

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