Auction Of 5-year Treasurys Sees Lowest Demand Since 2009

The bid for a $35 billion five-year Treasury note auction was the lowest since 2009, resulting in a closing yield of 1.387%, one basis point above the market's expectation. Indirect bidders, a group that includes foreign financial institutions, took down only 55.7% of the auction, well below the 62% average. Treasury yields rose moderately during and after the auction, with the five-year note yield climbing 4 basis points to 1.408%.