10-Year Treasury Auction Tails 0.4bps at 4.683% as Bid-to-Cover Misses Average

NEW YORK — The U.S. Treasury sold $42 billion in 10-year notes with the high yield settling at 4.683 percent, a 0.4 basis point tail to the When Issued yield of 4.682 percent.

Demand metrics came in below recent norms. The bid-to-cover ratio of 2.40 times trailed the prior auction's 2.43 times and the six-auction average of 2.49 times, confirming investors required a concession to absorb the supply.

A tail means the clearing yield exceeded the pre-auction When Issued level — dealers and direct bidders demanded more compensation than the market had priced, leaving the Treasury to pay up.

The broader 10-year yield eased to 4.68 percent on the session, down 0.02 percentage points from the prior close. The yield has risen 0.06 percentage points over the past month and sits 0.43 percentage points above year-ago levels, a move that has steadily extended duration risk across institutional bond portfolios.

NEW YORK — The U.S. Treasury sold $42 billion in 10-year notes with the high yield settling at 4.683 percent, a 0.4 basis point tail to the When Issued yield of 4.682 percent.

A tail means the clearing yield exceeded the pre-auction When Issued level — dealers and direct bidders demanded more compensation than the market had priced, leaving the Treasury to pay up.