US sells USD 69bln in 2-year notes at a high yield of 3.455%, tails 0.1bps

• High Yield: 3.455% (prev. 3.580%, six-auction avg. 3.547%): WI 3.454%
• Tail: 0.1bps (prev. -1.4bps, six-auction avg. -0.5bps)
• Bid-to-Cover: 2.63x (prev. 2.75x, six-auction avg. 2.63x)
• Dealers: 9.81% (prev. 7.3%, six-auction avg. 10.7%)
• Directs: 34.28% (prev. 28.3%, six-auction avg. 32.0%)
• Indirects: 55.91% (prev. 64.4%, six-auction avg. 57.4%)

The US auctioned USD 69 billion in 2-year notes at a yield of 3.455%, which is below the previous auction's yield, indicating a slight decline in demand. The tail of 0.1bps suggests demand was close to the expected yield, but the bid-to-cover ratio slightly decreased, pointing to moderate interest. This outcome may impact short-term rates and the overall sentiment towards the dollar as it reflects market expectations around upcoming rate decisions.