Bonds
High Yields Lure Buyers as US Sells $180 Billion of Treasuries
- Buyers showed decent demand for two- and five-year notes
- US is set to sell $44 billion in seven-year notes on Thursday
The Treasury Department in Washington, DC.
Photographer: Anna Moneymaker/Getty ImagesThis article is for subscribers only.
Demand for Treasuries is holding up as the US government floods the market with more than $180 billion of new debt this week, a testament to the appeal of high yields for shorter-term notes.
Investors absorbed a $70 billion sale of five-year Treasuries on Wednesday at a slightly higher-than-anticipated yield, following an even-stronger show of demand for the auction of two-year notes on Tuesday. The yield on the securities in the secondary market was little changed at 4.65% as the trading session kicked off in New York.