US 30-Year Bond Auction Faces Worst Tail in a Decade, Prompting Sharp Market Response🤔
The $24bln 30yr auction saw the worst tail since 2011 (~5bp), with a bid to cover ratio of 2.24x, indirect bidding interest of just 60%, and 75% end-user takedown all sitting as the worst metrics since November 2021. The reaction was swift and relentless, with bonds topping out with a +21bp rate surge at one point, dragging SPX futures 0.5% lower and USDJPY above 151. #30YearBondAuction
#BidToCoverRatio #IndirectBidding #EndUserTakedown #BondYieldSurge #MarketReaction