Subpar 5Y Auction Sees Biggest Tail Since July 2025, Bid to Cover Slides

Subpar 5Y Auction Sees Biggest Tail Since July 2025, Bid to Cover Slides After yesterday's 2 Year auction, moments ago the Treasury sold its second coupon for the week when it auctioned off $70BN in 5 Year paper in a rather lackluster auction.  The auction priced at a high yield of 3.615%, down from 3.823% a month ago, and the lowest since November; it also tailed the When Issued 3.608% by 0.7bps, the biggest tail since last July. The bid to cover was ugly, dropping to 2.32, ...

By Tyler Durden