Treasury Inflation Bond Demand Jumps on Fed Inflation Concern
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Treasury’s sale of $7 billion in inflation-indexed 30-year bonds attracted the most demand in a year as speculation that the Federal Reserve’s $85 billion a month of bond purchases will continue through March spurred demand for inflation protection.
The sale’s bid-to-cover ratio, which gauges demand by comparing the amount bid with the amount offered, was 2.76, versus an average of 2.67 at the 10 previous auctions since