Ahead of the $25 billion 30-year U.S. Treasury auction… 10-year bid-to-cover ratio at 2.46

The U.S. Treasury will auction $25 billion in 30-year bonds on Thursday at 3 a.m. KST, following this week's $42 billion 10-year note sale, which drew a bid-to-cover ratio of 2.46 and a high yield of 5.020%. That 10-year cover was weaker than the 2.53 seen at the August 12 new-issue auction and the 2.77 at the October 7 reopening, with indirect bidder participation also below both comparables. The soft 10-year demand signals investors are demanding more compensation for duration ahead of the long-bond sale, making the 30-year result a key read on whether yields need to rise further to clear supply. Watch the 30-year auction's bid-to-cover and indirect bidder share for confirmation of whether the weakness in the 10-year was issue-specific or a broader drop in demand for U.S. duration.