Another BLAH Treasury auction
* Indirect bidders only bought 21.8% of the notes sold. That's the lowest since October. If you exclude the October reading of 21.7% (it's just one-tenth of a percentage point lower after all), you have to go back to June to find a lower reading (18.3%)
* The bid-to-cover ratio was just 2.21, also the worst since October -- or June, if you exclude October's 2.12 reading.
* The only good thing? The notes yielded 4.855% in the sale, slightly below pre-auction forecasts of 4.861%.
We are challenging the key yield resistance I highlighted in my earlier post as I write.