Updated on March 29, 2017 11:01:30 AM EDT
Yesterday’s 5-year Treasury Note auction didn’t go wonderfully but wasn’t too bad either. The benchmarks we use to gauge investor demand showed an average level of interest in the securities. The bond market selling came in two batches but they did not coincide with the results of the auction being posted. Therefore, we cannot blame it on the sale. However, the results don’t give us too much to be optimistic about in today’s 7-year Note auction. Its results will be posted at 1:00 PM ET, so any reaction will come during early afternoon trading. A strong demand in the securities would be good news for the broader bond market and mortgage rates.