The US Treasury will auction $69 billion in 2-year notes on September 22, maintaining the standard issuance size used throughout 2026. Recent auctions show solid demand with bid-to-cover ratios ranging from 2.60 to 2.66 and high yields hovering around 4.2%. Indirect bidders claimed 66% of the August allocation, reflecting sustained foreign and institutional appetite for US government debt at current yield levels. Key metrics to watch during the September auction include the high yield, bid-to-cover ratio, and the breakdown between direct bidders, indirect bidders, and primary dealers.
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