Weak Demand for $25 Billion Treasury Bond Auction Spikes Yields

The United States Department of the Treasury experienced softening investor demand during a $25 billion auction of 30-year bonds on November 12, 2026. The auction stopped at a high yield of 5.441%, creating a 0.4 basis point tail against the when-issued yield of 5.437%. This result marked the largest tail since June and contributed to 10-year yields climbing to session highs above 5.10%.

Investor reluctance was evident in the bid-to-cover ratio, which fell to between 2.36x and 2.401x, dropping below the six-auction average of approximately 2.44x. Indirect bidders, including foreign central banks, decreased their share of the sale to 68.1%, down from 72.3% in the previous month. As a result, primary dealers were forced to absorb a larger portion of the issuance, holding roughly 11.4% of the bonds compared to 6.79% in the prior auction.

This poor performance follows a similarly weak 10-year bond auction held earlier in the week on Tuesday. Together, these events indicate a growing reluctance among investors to add duration to their portfolios, fueling broader volatility across the Treasury market.