Details of the 21 billion 10 year note auction just hit the tape – this was a very good auction

Details of the 21 billion 10 year note auction just hit the tape.  Yield posted at 3.90%, Indirect Bids at 43%, bid to cover 3.72% (average 2.93%), and best of all, the issue traded 3.3 bps through the screen at the bell.  This was a very good auction.  We’ll give it an A-.  Not quite sure what is going on here given the strong demand as the market was looking for this to be a woofer.  Nonetheless, Austin mortgage pricing will improve as mortgage backs and treasuries improve.  Yield on the 10 year now trades at 3.90%, an important level which we will watch into the close.

About Max Leaman Austin Mortgage

GREAT RATES, LOW FEES, CLOSE ON TIME™ ---- 2012 Ranked #1 Austin Residential Mortgage Lender (Austin Business Journal) 2010, 2011 & 2012 Five Star Professional (Texas Monthly) 2009, 2010, 2011, 2012, 2013 PrimeLending Chairman's Circle Award 2009, 2010, 2011, 2012 Scotsman Guide Top Originator (Top 200 Mortgage Professionals in U.S.A.) Better Business Bureau "A+ Rating" National Lender Rankings (Scotsman Guide): Top Purchase Volume (No. 10) Most Loans Closed (No. 32) Top Dollar Volume (No. 88)

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