Dated treasurys gain after $41 billion auction

U.S. debt prices were mixed as government offers a record $123 billion in debt this week.

EMAIL  |   PRINT  |   SHARE  |   RSS
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all RSS FEEDS (close)
By Ben Rooney, staff reporter

Click the chart for current bond prices and yields.
How would you describe the stress level of your job?
  • No stress at all
  • Sometimes there's stress
  • Very stressful

NEW YORK ( -- Longer term treasurys advanced Wednesday after the government sold $41 billion in 5-year notes, as economic fears boosted demand for the safety of U.S. debt.

The auction was part of a record $123 billion offering of U.S. debt this week. The government sold $44 billion in 2-year notes on Tuesday and will offer $31 billion worth of 7-year notes Thursday.

Wednesday's auction received strong demand. Investors submitted bids totaling $107.8 billion for the $41 billion worth of 5-year notes offered.

The bid-to-cover ratio, which measures demand, was 2.63. That compares with 2.4 at the previous 5-year auction in September and a 2009 average of 2.24.

Indirect bidders, a category that includes foreign central banks, bought 55% of the securities sold.

This week's debt sales are the latest in a string of record-sized auctions the government has held this year to fund its economic stimulus efforts and budget deficit.

While demand for U.S. debt has been strong, many analysts say the constant onslaught of new issues could eventually weigh on Treasury prices.

Housing pain. Meanwhile, government figures showed that new home sales fell unexpectedly in September after rising for five straight months.

Sales of newly built homes fell 3.6% to a seasonally adjusted annual rate of 402,000 last month, from a downwardly revised rate of 417,000 in August, according to the Commerce Department.

Economists surveyed by had expected September new home sales to rise to a rate of 440,000 units.

A separate government report showed that new orders for durable goods rose 1% in September, which was in line with economists' expectations.

Bond prices. The benchmark 10-year note was up 8/32 to 101 24/32 and its yield slid to 3.418% from 3.448% late Tuesday. Bond prices and yields move in opposite directions.

The newly issued 2-year note eased 1/32 to 100 4/32. Its yield rose to 0.949% from a median yield of 0.980% at Tuesday's auction.

The 30-year bond gained 9/32 to 104. Its yield was 4.263%.

The yield on the 3-month bill was 0.066%. To top of page

They're hiring!These Fortune 100 employers have at least 350 openings each. What are they looking for in a new hire? More
If the Fortune 500 were a country...It would be the world's second-biggest economy. See how big companies' sales stack up against GDP over the past decade. More
Sponsored By:
More Galleries
10 of the most luxurious airline amenity kits When it comes to in-flight pampering, the amenity kits offered by these 10 airlines are the ultimate in luxury More
7 startups that want to improve your mental health From a text therapy platform to apps that push you reminders to breathe, these self-care startups offer help on a daily basis or in times of need. More
5 radical technologies that will change how you get to work From Uber's flying cars to the Hyperloop, these are some of the neatest transportation concepts in the works today. More
Worry about the hackers you don't know 
Crime syndicates and government organizations pose a much greater cyber threat than renegade hacker groups like Anonymous. Play
GE CEO: Bringing jobs back to the U.S. 
Jeff Immelt says the U.S. is a cost competitive market for advanced manufacturing and that GE is bringing jobs back from Mexico. Play
Hamster wheel and wedgie-powered transit 
Red Bull Creation challenges hackers and engineers to invent new modes of transportation. Play

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.