Treasury's $15 B 30-year bond sale was a bit better than average
Treasury's $15 B 30-year bond sale was a bit better than average and split the difference of the great 3-year and poor 10-year results. The bond priced well, stopping at 2.818%%, just through the 2.819% at the bid deadline. That compares to the 2.936% at July's reopening and the 3.050% at the last new issue in May. There were nearly $34.8 B in bids for a good 2.32 cover, in line with the 2.31 from last month's $12 B reopening, though its better than the 2.27 average. Indirect bidders took 66.8%, better than both July's 61.7% and the 62.2% average. Direct bidders took a mere 5.4%, down from 6.4%, while primary dealers awarded 27.8% versus 31.9% previously. The decent results and the fact this is the last coupon auction for a couple of weeks opens the door for further slight declines in yields.