US Treasury sells bonds at unexpected low yield

The U.S. government sold $13 billion in 20-year bonds on Tuesday. The yield was lower than expected, indicating strong demand from both international and domestic buyers. The bonds were sold at a yield of 4.632%. This is slightly below the expected yield of 4.646% and better than the previous auction's yield of 4.830%. Demand for these bonds was shown in the bid to cover ratio, which fell to 2.78 from 2.43 in the last auction. This ratio reflects how many bids were received compared to the amount available. International buyers made a strong showing in this auction. They bought 68.8% of the bonds. Domestic buyers accounted for 22.35%, which is also above average for the past six months.