The 30-year Treasury bond auction caps the three auctions this week. Like the previous ones, this was a benign and market-friendly auction.
The yield came in at 4.57% vs. expectations of 4.61%. Bid-to-cover was the best in a decade at over 3.0. And the strong buyers (indirects) was at 41%, well above the previous six auctions.
Bond yields remain rangebound -- as they have for the last three months -- and, for now, don't pose a risk to equities.
After the auction, the reported violence in the Middle East put a bid under fixed income, and interest rates have fallen further.