High yield 4.876%Level at the time of the auction 4.871% Tail 0.5 basis point versus auction average of -0.3 basis pointsBid to cover 2.39X versus auction average of 2.42XDirects 24.23% versus auction average of 24.0%Indirects 64.14% versus auction average of 66.0%Dealers 11.62% versus 6 auction average of 9.9%
AUCTION GRADE: D+
I was tempted to give a C- but tipped the grade to a D+. The only better than average component was the Direct bidders , but that was just barely higher. Foreign demand was less than average at 64.14%. The tail was higher at 0.5 basis points. The bid to cover was just less than average.
All three auctions this week were “meh”.
This article was written by Greg Michalowski at investinglive.com.