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Treasury auctions · 7-Year Note

7-year note auction of 24 September 2020 (new issue)

The 7-year note sold $56.845 billion at a high yield of 0.462% on , with a bid-to-cover ratio of 2.42.

High yield at each 7-year note auction

The last 36 auctions, this one last

High yield at each 7-year note auction, 22 Feb 2018 to 24 Sep 2020
High yield at each 7-year note auction, 27 Sep 2018 to 24 Sep 2020

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, 22 Feb 2018 to 24 Sep 2020
Bid-to-cover ratio at each 7-year note auction, 27 Sep 2018 to 24 Sep 2020

Who bought the 7-year note of 24 Sep 2020

Shares of the competitive bids accepted

  • Indirect bidders 62.8%
  • Direct bidders 16.6%
  • Primary dealers 20.5%
This auction, 24 Sep 2020
  • Indirect bidders 68.3%
  • Direct bidders 16.4%
  • Primary dealers 15.3%
The 7-year note auction before, 27 Aug 2020

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 bidders62.8%
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
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
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

Observed .

Right now

The high yield was 0.462% on 24 September 2020, down from 0.519% at the auction before.

Higher than 1 of the 148 since 26 February 2009

Its own history

Against the previous 24 7-year note auctions, the high minus median was higher than 16 of the 24.

The high yield was higher than 1 of them.

See every measure against earlier auctions

Who bought

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

  • Indirect bidders 62.8%
  • Direct bidders 16.6%
  • Primary dealers 20.5%

Size

Treasury sold $56.845 billion of the $50 billion offered.

Bids received came to $127.995 billion; the bid-to-cover ratio was 2.42.

Its bid-to-cover of 2.42 compares with the 24 auctions before it: lowest 2.16 on , highest 2.76 on ; 43.3% of the way from the low to the high.

2.42

Low 2.16 Midpoint 2.460 High 2.76

The security7-Year, new issue

Coupon
0.375%
Announced
Issued
Matures

It adds to the debt that matures in September 2027.

Understanding this result

Where it stands today

The high yield was 0.462% at this 7-year note auction, the median yield 0.414% and a bid-to-cover ratio of 2.42.

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$50,000,000,000
Bids received$127,995,204,300
Sold$56,845,294,300
Competitive bids accepted$49,997,050,000
Non-competitive bids accepted$3,006,200
Federal Reserve (SOMA) add-on$6,845,238,100
Foreign and international (FIMA) non-competitive$0
High yield, %0.462
Median rate, %0.414
Low rate, %0.080
Interest rate (coupon), %0.375
Bids at the high rate filled, %7.87
Bid-to-cover ratio2.42
Indirect bidders accepted$31,421,205,000
Direct bidders accepted$8,324,235,000
Primary dealers accepted$10,251,610,000
Indirect bidders' share, % (ours)62.8
Direct bidders' share, % (ours)16.6
Primary dealers' share, % (ours)20.5
High minus median, basis points (ours)4.8
Treasury par yield curve, 7-year point, same day, %0.46
High yield minus that point, basis points (ours)0.2
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 ratio2.422.4811 of 121 of 12
High yield0.4620.96411 of 121 of 12
Indirect bidders' share62.863.78 of 124 of 12
Direct bidders' share16.614.53 of 129 of 12
Primary dealers' share20.520.86 of 126 of 12
High minus median, basis points4.84.86 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 ratio2.42Last 24 auctions18 of 246 of 242.48
Bid-to-cover ratio2.42All 148 since 26 February 2009124 of 14823 of 1482.56
High yield0.462Last 24 auctions23 of 241 of 241.777
High yield0.462Since 26 February 2009147 of 1481 of 1482.062
High yield0.462All 197 since 6 February 1980196 of 1971 of 1972.261
Indirect bidders' share62.8Last 24 auctions9 of 2415 of 2459.9
Indirect bidders' share62.8All 148 since 26 February 200934 of 148114 of 14855.3
Direct bidders' share16.6Last 24 auctions10 of 2414 of 2415.9
Direct bidders' share16.6All 148 since 26 February 200941 of 148107 of 14813.2
Primary dealers' share20.5Last 24 auctions14 of 2410 of 2421.5
Primary dealers' share20.5All 148 since 26 February 2009126 of 14822 of 14832.7
High minus median, basis points4.8Last 24 auctions8 of 2416 of 244.6
High minus median, basis points4.8Since 26 February 200954 of 14892 of 1484.4
High minus median, basis points4.8All 197 since 6 February 198059 of 197136 of 1974.0

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 24 September 2020. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2020/R_20200924_3.pdf. Compiled by 500metrics, "7-year note auction of 24 September 2020 (new issue)", https://500metrics.com/treasury/auctions/7-year-note/2020-09-24.

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