Treasury Auctions (5,7,10,20,30 year)
The Treasury Department is auctioning 5-year Notes today, followed by 7-year Notes tomorrow. These sales will tell us if there is an appetite in the markets for medium-term securities. A strong demand from investors, particularly from international buyers, should lead to the broader bond market moving higher, pushing mortgage rates lower. On the other hand, a lackluster interest in the securities could lead to bond selling and higher mortgage pricing. The results of the sales will be announced at 1:00 PM ET each day, so any reaction will come during afternoon trading today and/or tomorrow.