NEW YORK Aug 26 Large investment managers and
other direct bidders purchased 12.14 percent of a $29 billion
two-year Treasuries note issue at an auction held on Tuesday,
their lowest share in more than a year, Treasury Department data
This was the smallest share by this class of buyers since
the 7.83 percent they bought in June 2013.
In the meantime, the Treasury awarded 39.83 percent of the
latest two-year issue to indirect bidders which include foreign
central banks. This was biggest share to indirect bidders since
Primary dealers, which are the top 22 Wall Street firms that
do business directly with the Federal Reserve, accounted for
48.03 percent of the two-year note purchases, their smallest
share in five months.
Overall bidding for the two-year supply, as measured by the
bid-to-cover ratio, was the strongest since May.
After the two-year sale, the Treasury will sell $35 billion
in five-year debt and $13 billion in two-year
floating-rate notes on Wednesday and $29 billion in seven-year
securities on Thursday.
(Reporting by Richard Leong; Editing by David Gregorio)