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Treasury auctions · 7-Year Note

7-year note auction of 29 January 2019 (new issue)

The 7-year note sold $32 billion at a high yield of 2.625% on , with a bid-to-cover ratio of 2.54.

High yield at each 7-year note auction

The last 36 auctions, this one last

High yield at each 7-year note auction, 26 May 2016 to 29 Jan 2019
High yield at each 7-year note auction, 23 Feb 2017 to 29 Jan 2019

Bid-to-cover ratio at each 7-year note auction

The last 36 auctions, this one last

Bid-to-cover ratio at each 7-year note auction, 26 May 2016 to 29 Jan 2019
Bid-to-cover ratio at each 7-year note auction, 23 Feb 2017 to 29 Jan 2019

Who bought the 7-year note of 29 Jan 2019

Shares of the competitive bids accepted

  • Indirect bidders 58.3%
  • Direct bidders 24.9%
  • Primary dealers 16.8%
This auction, 29 Jan 2019
  • Indirect bidders 67.4%
  • Direct bidders 14.6%
  • Primary dealers 18.0%
The 7-year note auction before, 27 Dec 2018

Each point is one 7-year note auction, this one last; pointing at the chart shows its date and figures.

Select a line to followLatest:

  • Indirect bidders58.3%
Inspect and compare dates
High yield and bid-to-cover of the last 36 7-year note auctions, newest first
AuctionHigh yield, %Bid-to-cover
2.6252.54
2.6802.46
2.9742.55
3.0742.39
3.0342.45
2.8442.65
2.9302.49
2.8092.53
2.9302.62
2.9522.56
2.7202.34
2.8392.49
2.5652.73
2.3702.55
2.2452.36
2.2302.36
2.0662.46
2.2802.39
2.1302.70
1.9412.46
2.1262.54
2.0562.46
2.0602.54
2.0842.73
1.2802.85
2.2152.56
2.1972.49
2.3352.45
2.2842.54
2.2152.68
1.6532.49
1.3892.47
1.4232.38
1.3402.51
1.4972.56
1.6522.57

Observed .

Right now

The high yield of 2.625% on 29 January 2019 was the lowest for a 7-year note since 25 January 2018.

Higher than 93 of the 124 since 26 February 2009

Its own history

Against the previous 24 7-year note auctions, the direct bidders' share was higher than 23 of the 24.

The indirect bidders' share was higher than 2 of them.

See every measure against earlier auctions

Who bought

Indirect bidders took the largest share of the competitive bids accepted.

  • Indirect bidders 58.3%
  • Direct bidders 24.9%
  • Primary dealers 16.8%

Size

Treasury sold $32 billion of the $32 billion offered.

Bids received came to $81.162 billion; the bid-to-cover ratio was 2.54.

Its bid-to-cover of 2.54 compares with the 24 auctions before it: lowest 2.34 on , highest 2.85 on ; 39.2% of the way from the low to the high.

2.54

Low 2.34 Midpoint 2.595 High 2.85

The security7-Year, new issue

Coupon
2.625%
Announced
Issued
Matures

It adds to the debt that matures in January 2026.

Understanding this result

Where it stands today

The high yield was 2.625% at this 7-year note auction, the median yield 2.580% and a bid-to-cover ratio of 2.54.

What do these figures measure?

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.

Read more

How does it compare with the par yield curve?

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 these figures cannot tell

  • 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 numbers behind the chart

What did Treasury publish for this auction?Every field, to the dollar
FieldValue
Offered as7-Year, new issue
Offering amount$32,000,000,000
Bids received$81,161,943,000
Sold$32,000,106,200
Competitive bids accepted$31,985,843,200
Non-competitive bids accepted$14,263,000
Federal Reserve (SOMA) add-on$0
Foreign and international (FIMA) non-competitive$0
High yield, %2.625
Median rate, %2.580
Low rate, %2.500
Interest rate (coupon), %2.625
Bids at the high rate filled, %1.31
Bid-to-cover ratio2.54
Indirect bidders accepted$18,636,886,700
Direct bidders accepted$7,966,555,000
Primary dealers accepted$5,382,401,500
Indirect bidders' share, % (ours)58.3
Direct bidders' share, % (ours)24.9
Primary dealers' share, % (ours)16.8
High minus median, basis points (ours)4.5
Treasury par yield curve, 7-year point, same day, %2.61
High yield minus that point, basis points (ours)1.5
How does it compare with earlier auctions?The previous 12 auctions, then every window
Against the previous 12 auctions of the 7-year note
MeasureThis auctionMedianHigherLower
Bid-to-cover ratio2.542.515 of 127 of 12
High yield2.6252.88711 of 121 of 12
Indirect bidders' share58.363.410 of 122 of 12
Direct bidders' share24.912.81 of 1211 of 12
Primary dealers' share16.821.910 of 122 of 12
High minus median, basis points4.54.46 of 126 of 12

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

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 ratio2.54Last 24 auctions9 of 2413 of 242.51
Bid-to-cover ratio2.54All 124 since 26 February 200975 of 12445 of 1242.60
High yield2.625Last 24 auctions11 of 2413 of 242.468
High yield2.625Since 26 February 200931 of 12493 of 1242.106
High yield2.625All 173 since 6 February 198080 of 17393 of 1732.384
Indirect bidders' share58.3Last 24 auctions22 of 242 of 2464.0
Indirect bidders' share58.3All 124 since 26 February 200945 of 12479 of 12450.9
Direct bidders' share24.9Last 24 auctions1 of 2423 of 2412.8
Direct bidders' share24.9All 124 since 26 February 20092 of 124122 of 12412.8
Primary dealers' share16.8Last 24 auctions19 of 245 of 2422.5
Primary dealers' share16.8All 124 since 26 February 2009118 of 1246 of 12436.2
High minus median, basis points4.5Last 24 auctions13 of 2411 of 244.8
High minus median, basis points4.5Since 26 February 200954 of 12466 of 1244.4
High minus median, basis points4.5All 173 since 6 February 198059 of 173110 of 1734.0

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

When are the figures from, and how are they cited?Dates and how to cite

Observed .

Shares of competitive bids, grades against earlier auctions and the high-minus-median spread are computed by 500metrics from Treasury's published fields.

Observed .

How to cite this

U.S. Treasury, Bureau of the Fiscal Service, Fiscal Data, Treasury Securities Auctions Data, auction of 29 January 2019. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2019/R_20190129_3.pdf. Compiled by 500metrics, "7-year note auction of 29 January 2019 (new issue)", https://500metrics.com/treasury/auctions/7-year-note/2019-01-29.

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