Summary
- The coupon rate was set at 0.875%, so buyers got it at a discounted price of about $98.76 for $100 of value.
- The inflation breakeven rate came in at 2.13%, higher than recent auctions.
- Market reaction to the auction looks mild, but did the yield come in higher than expected?
Thank you for this preview. There’s no way to know what inflation will be over the next five years, but…