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Treasury auctions · 7-Year Note

7-year note auction of 26 October 2023 (new issue)

The 7-year note sold $38 billion at a high yield of 4.908% on , with a bid-to-cover ratio of 2.70.

High yield at each 7-year note auction

The last 36 auctions, this one last

High yield at each 7-year note auction, 29 Dec 2020 to 26 Oct 2023
High yield at each 7-year note auction, 28 Oct 2021 to 26 Oct 2023

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, 29 Dec 2020 to 26 Oct 2023
Bid-to-cover ratio at each 7-year note auction, 28 Oct 2021 to 26 Oct 2023

Who bought the 7-year note of 26 Oct 2023

Shares of the competitive bids accepted

  • Indirect bidders 70.6%
  • Direct bidders 18.4%
  • Primary dealers 11.0%
This auction, 26 Oct 2023
  • Indirect bidders 65.5%
  • Direct bidders 19.9%
  • Primary dealers 14.6%
The 7-year note auction before, 28 Sep 2023

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 bidders70.6%
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
4.9082.70
4.6732.47
4.2122.66
4.0872.48
3.8392.65
3.8272.61
3.5632.41
3.6262.39
4.0622.49
3.5172.69
3.9212.45
3.8902.33
4.0272.43
3.8982.57
3.1302.65
2.7302.60
3.2802.48
2.7772.69
2.9082.41
2.4992.44
1.9052.36
1.7692.36
1.5332.50
1.4802.21
1.5882.42
1.4612.25
1.3322.24
1.1552.34
1.0502.23
1.2642.36
1.2852.41
1.3062.31
1.3002.23
1.1952.04
0.7542.30
0.6622.31

Observed .

Right now

The high yield of 4.908% on 26 October 2023 was the highest for a 7-year note since 13 April 1993.

The bid-to-cover ratio of 2.70 was the highest for a 7-year note since 26 March 2020, with 43 auctions in between.

Higher than all 186 since 26 February 2009

Its own history

Against the previous 24 7-year note auctions, the bid-to-cover ratio and the high yield were higher than all 24.

The indirect bidders' share was higher than 17 of them.

See every measure against earlier auctions

Who bought

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

  • Indirect bidders 70.6%
  • Direct bidders 18.4%
  • Primary dealers 11.0%

Size

Treasury sold $38 billion of the $38 billion offered.

Bids received came to $102.75 billion; the bid-to-cover ratio was 2.70.

Its bid-to-cover of 2.70 compares with the 24 auctions before it: lowest 2.21 on , highest 2.70 on ; 100.0% of the way from the low to the high.

2.70

Low 2.21 Midpoint 2.455 High 2.70

The security7-Year, new issue

Coupon
4.875%
Announced
Issued
Matures

It adds to the debt that matures in October 2030.

Understanding this result

Where it stands today

The high yield was 4.908% at this 7-year note auction, the median yield 4.849% and a bid-to-cover ratio of 2.70.

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$38,000,000,000
Bids received$102,749,692,300
Sold$38,000,032,300
Competitive bids accepted$37,746,850,000
Non-competitive bids accepted$253,182,300
Federal Reserve (SOMA) add-on$0
Foreign and international (FIMA) non-competitive$0
High yield, %4.908
Median rate, %4.849
Low rate, %4.780
Interest rate (coupon), %4.875
Bids at the high rate filled, %92.44
Bid-to-cover ratio2.70
Indirect bidders accepted$26,657,030,000
Direct bidders accepted$6,944,820,000
Primary dealers accepted$4,145,000,000
Indirect bidders' share, % (ours)70.6
Direct bidders' share, % (ours)18.4
Primary dealers' share, % (ours)11.0
High minus median, basis points (ours)5.9
Treasury par yield curve, 7-year point, same day, %4.86
High yield minus that point, basis points (ours)4.8
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 ratio2.702.480 of 1212 of 12
High yield4.9083.9060 of 1212 of 12
Indirect bidders' share70.666.84 of 128 of 12
Direct bidders' share18.417.15 of 127 of 12
Primary dealers' share11.014.28 of 124 of 12
High minus median, basis points5.97.010 of 122 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 ratio2.70Last 24 auctions0 of 2424 of 242.48
Bid-to-cover ratio2.70All 186 since 26 February 200936 of 186148 of 1862.54
High yield4.908Last 24 auctions0 of 2424 of 243.540
High yield4.908Since 26 February 20090 of 186186 of 1862.062
High yield4.908All 235 since 6 February 198049 of 235186 of 2352.261
Indirect bidders' share70.6Last 24 auctions7 of 2417 of 2465.2
Indirect bidders' share70.6All 186 since 26 February 200913 of 186173 of 18658.4
Direct bidders' share18.4Last 24 auctions14 of 2410 of 2419.6
Direct bidders' share18.4All 186 since 26 February 200948 of 186138 of 18614.9
Primary dealers' share11.0Last 24 auctions16 of 248 of 2414.2
Primary dealers' share11.0All 186 since 26 February 2009176 of 18610 of 18628.5
High minus median, basis points5.9Last 24 auctions18 of 246 of 246.8
High minus median, basis points5.9Since 26 February 200949 of 186137 of 1864.8
High minus median, basis points5.9All 235 since 6 February 198053 of 235182 of 2354.4

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 26 October 2023. Results file: https://www.treasurydirect.gov/instit/annceresult/press/preanre/2023/R_20231026_3.pdf. Compiled by 500metrics, "7-year note auction of 26 October 2023 (new issue)", https://500metrics.com/treasury/auctions/7-year-note/2023-10-26.

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