By Paulo Trevisani

The U.S. Treasury auctioned $69 billion in two-year notes on Tuesday at a yield of 4.787%, the highest since the May 2024 auction. The sale comes as investors anticipate rising rates following hawkish Fed communication and the central bank's first rate increase since 2023.

Demand was robust: the bid-to-cover ratio was 2.63, above the six-month average of 2.61, while indirect bidders took just under the 58% average. The high yield slightly exceeded the when-issued yield of 4.785%. After the auction, the two-year yield rose to 4.766% from 4.762%, per Tradeweb.

Write to Paulo Trevisani at [email protected]

(END) Dow Jones Newswires September 22, 2026 13:44 ET (17:44 GMT) Copyright (c) 2026 Dow Jones & Company, Inc.