Lowest primary dealer takedown since January at solid 10-year auction
NEW YORK, Sept 12 (Reuters) - The U.S. Treasury Department
on Wednesday sold $23 billion of 10-year government notes to
modest demand, with 22.64 percent of the supply taken by primary
dealers, the lowest since January 2018.
Primary dealers are responsible for absorbing any supply not
bought by direct or indirect bidders. Indirect bidders, which
include fund managers and foreign central banks, took 63.92
percent of the supply, higher than 61.27 percent in August and
the average of 61.49 percent. Direct bidders took 13.44 percent,
higher than the 11.27 percent taken in August, and the auction
average of 5.10 percent.
The ratio of bids to the amount of 10-year debt offered - a
measure of overall demand - was 2.58, higher than 2.55 in August
and the average of 2.38.
The offering was smaller than the $26 billion auctioned in
August, but larger than the average of $21 billion at this
(Reporting by Kate Duguid; Editing by Diane Craft)
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