The US Treasury successfully auctioned 30-year bonds totaling $22 billion. International investors, including central banks and sovereign wealth funds, acquired 79.5% of the total offering. This represents the second-highest share for foreign participation on record for this maturity.
Primary dealers were allocated only 2.21% of the bonds, marking the lowest level ever recorded. This shift indicates strong demand from end-users, contrasting with earlier 2026 auctions where dealers were required to absorb significantly larger portions of the supply.
The auction achieved a high yield of 5.308%, the highest level for a 30-year bond sale since August 2001. Despite this, the bonds priced 2.7 basis points below the when-issued market rate of 5.335%, creating a stop-through that ranks as the second-largest in history.
Market interest was further evidenced by a bid-to-cover ratio of 2.612, the strongest reading since February 2026. This event marks the fifth consecutive auction for 30-year bonds to price above a 5% yield.
