Thursday's Treasury Auction Result

The result of 7-year note auction is in, from Treasurydirect.gov.

7-year note: $26 billion

• Primary Dealer: $16.50 billion
• Direct Bidder: $905 million
• Indirect Bidder (foreign): $8.56 billion (33%)
• Bid to cover ratio: 2.26

The stock market dipped into negative territory, probably in anticipation of the bad result of the auction. The result, clearly, was not as bad as they had feared. Or at least the Treasury note buyers haven't turned around and started selling yet, like they did yesterday.

Dow is up 60 points, Nasdaz up 11 points, and S&P500 up 11 points at 1:15pm EST.

The yield on the 5-year Treasury note is up, 10-year's yield is up slightly and 30-year's yield is down slightly. (Looks like the Fed may be frantically buying the long end, into which bond investors are selling... It could be long-dated mortgage securities the Fed is buying.)

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