The U.S. Treasury's auction of $69 billion in 2-year notes drew a high yield of 4.787%, the steepest since May 2024. This came in above the 4.785% pre-auction trading level at the 1 p.m. New York time bidding deadline, signaling that appetite was marginally weaker than anticipated.

Primary dealers took down 13.2% of the offering, the largest share since March. Indirect bidders saw their allocation dip to 57.8%, while direct bidders increased their take to 29%. The bid-to-cover ratio, a gauge of overall demand, stood at 2.63 times, edging past the 2.61 average recorded across the previous six sales.