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US government bond yields higher amid wave of issuance
The US Treasury auctioned $28bn in two-year notes at a yield of 2.255%, attracting a bid-to-cover ratio - an indication of how many times it was oversubscribed - of 2.72.
The bid-to-cover ratio was lower than the average seen in the prior six sales and the 3.22 fetched the last time around.
At the previous such auction, the yield on offer had been 2.066%.
Earlier, the Treasury had also sold $51bn in 91-day bills at a yield of 1.63% with a bid-to-cover ratio of 2.74, $45bn of 182-day bills at 1.82% with a bid-to-cover ratio of 3.11 and $55bn in 28-day bills at 1.38% with a bid-to-cover ratio of 2.48.
On Wednesday, the Treasury was set to sell $64bn of notes maturing in five years' time, followed by $29bn of seven-year notes on Thursday.
In reaction, as of 1859 GMT the yield on the benchmark two-year US Treasury note was ahead by four basis points to 2.23% and that on the 10-year note by three basis points to 2.91%.