High-yield 4.362%WI level at the time of the auction 4.365%Bid to cover 2.61X versus six month average of 2.56XTail -0.3 basis points basis points versus six month average of -0.7 basis pointsDirects (domestic buyers) 23.7% vs six month average of 16.3%Indirects (international buyers) 65.4% vs six month average of 71.7%Dealers 10.87% vs six month average of 12.0%
Auction Grade: B-
The bid-to-cover was a touch higher than the average. The tail was negative but not as good as the six-month average.
Domestic buyers were strong compared to the average but international investors were weaker.
The dealers were saddled with less than average.
SUMMARY: The domestic and international buyers reversed demand, but the dealers were less than normal. That gave the overall auction grade an upward bias. Grade: B-
This article was written by Greg Michalowski at www.forexlive.com.