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Treasury auctions · 7-Year Note

7-year note auction of 27 November 2019 (new issue)

The 7-year note sold $34.54 billion at a high yield of 1.719% on , with a bid-to-cover ratio of 2.44.

High yield at each 7-year note auction

The last 36 auctions, this one last

High yield at each 7-year note auction, 28 Jun 2017 to 27 Nov 2019
High yield at each 7-year note auction, 27 Nov 2017 to 27 Nov 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, 28 Jun 2017 to 27 Nov 2019
Bid-to-cover ratio at each 7-year note auction, 27 Nov 2017 to 27 Nov 2019

Who bought the 7-year note of 27 Nov 2019

Shares of the competitive bids accepted

  • Indirect bidders 69.6%
  • Direct bidders 10.1%
  • Primary dealers 20.3%
This auction, 27 Nov 2019
  • Indirect bidders 65.4%
  • Direct bidders 14.5%
  • Primary dealers 20.1%
The 7-year note auction before, 24 Oct 2019

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 bidders69.6%
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
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
2.2612.60
2.5382.60
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

Observed .

Right now

The high yield was 1.719% on 27 November 2019, up from 1.657% at the auction before.

The indirect bidders' share of 69.6% was the highest for a 7-year note since 25 January 2018, with 25 auctions in between.

The direct bidders' share of 10.1% was the lowest for a 7-year note since 25 October 2018, with 16 auctions in between.

Higher than 37 of the 138 since 26 February 2009

Its own history

Against the previous 24 7-year note auctions, the indirect bidders' share was higher than all 24.

The high minus median was higher than 21 of them.

See every measure against earlier auctions

Who bought

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

  • Indirect bidders 69.6%
  • Direct bidders 10.1%
  • Primary dealers 20.3%

Size

Treasury sold $34.54 billion of the $32 billion offered.

Bids received came to $80.676 billion; the bid-to-cover ratio was 2.44.

Its bid-to-cover of 2.44 compares with the 24 auctions before it: lowest 2.16 on , highest 2.65 on ; 57.1% of the way from the low to the high.

2.44

Low 2.16 Midpoint 2.405 High 2.65

The security7-Year, new issue

Coupon
1.625%
Announced
Issued
Matures

It adds to the debt that matures in November 2026.

Understanding this result

Where it stands today

The high yield was 1.719% at this 7-year note auction, the median yield 1.666% and a bid-to-cover ratio of 2.44.

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$80,676,350,600
Sold$34,540,488,100
Competitive bids accepted$31,993,382,500
Non-competitive bids accepted$6,679,400
Federal Reserve (SOMA) add-on$2,540,426,200
Foreign and international (FIMA) non-competitive$0
High yield, %1.719
Median rate, %1.666
Low rate, %0.880
Interest rate (coupon), %1.625
Bids at the high rate filled, %94.53
Bid-to-cover ratio2.44
Indirect bidders accepted$22,278,000,000
Direct bidders accepted$3,216,365,000
Primary dealers accepted$6,499,017,500
Indirect bidders' share, % (ours)69.6
Direct bidders' share, % (ours)10.1
Primary dealers' share, % (ours)20.3
High minus median, basis points (ours)5.3
Treasury par yield curve, 7-year point, same day, %1.71
High yield minus that point, basis points (ours)0.9
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 ratio2.442.456 of 125 of 12
High yield1.7192.1049 of 123 of 12
Indirect bidders' share69.658.60 of 1212 of 12
Direct bidders' share10.115.912 of 120 of 12
Primary dealers' share20.324.08 of 124 of 12
High minus median, basis points5.34.22 of 1210 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 ratio2.44Last 24 auctions16 of 247 of 242.49
Bid-to-cover ratio2.44All 138 since 26 February 2009111 of 13824 of 1382.56
High yield1.719Last 24 auctions21 of 243 of 242.482
High yield1.719Since 26 February 2009101 of 13837 of 1382.116
High yield1.719All 187 since 6 February 1980150 of 18737 of 1872.317
Indirect bidders' share69.6Last 24 auctions0 of 2424 of 2459.4
Indirect bidders' share69.6All 138 since 26 February 20096 of 138132 of 13852.2
Direct bidders' share10.1Last 24 auctions23 of 241 of 2415.5
Direct bidders' share10.1All 138 since 26 February 2009100 of 13838 of 13813.2
Primary dealers' share20.3Last 24 auctions16 of 248 of 2422.5
Primary dealers' share20.3All 138 since 26 February 2009121 of 13817 of 13834.2
High minus median, basis points5.3Last 24 auctions3 of 2421 of 244.2
High minus median, basis points5.3Since 26 February 200937 of 13898 of 1384.4
High minus median, basis points5.3All 187 since 6 February 198041 of 187143 of 1874.0

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 27 November 2019. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2019/R_20191127_3.pdf. Compiled by 500metrics, "7-year note auction of 27 November 2019 (new issue)", https://500metrics.com/treasury/auctions/7-year-note/2019-11-27.

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