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Treasury Dept auctions $24 billion of 3-year notes at a high yield of 0.765%

U.S. government debt prices held lower on Monday as investors digested the auction of $24 billion in 3-year notes at a high yield of 0.765 percent.

The bid-to-cover ratio, an indicator of demand, was 2.69, well below a recent average of 2.92. The ratio was the weakest since July 2009.

Indirect bidders, which include major central banks, were awarded 44.7 percent, below a recent average of 50.3 percent. Direct bidders, which includes domestic money managers, bought 15.8 percent, above a recent average of 11.9 percent.

The yield on the 3-year Treasury note, which moves inversely to its price, sat higher at 0.7611 percent. The yield on the 10-year Treasury note was higher at 1.4346 percent, while the yield on the 30-year Treasury bond was lower at 2.1449 percent.

Symbol
Yield
 
Change
%Change
US 3-MO
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US 1-YR
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US 2-YR
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US 5-YR
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US 10-YR
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US 30-YR
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The benchmark S&P 500 index hit a new all-time intraday high, breaking a previous record set May 20, 2015.

It comes as global stocks jumped on the back of Friday's nonfarm payrolls figures which came in at 287,000, much higher than consensus estimates of 175,000.

Markets were also contemplating further stimulus in Japan, after Prime Minister Shinzo Abe's ruling coalition won Upper House elections by a landslide. Analysts said the result was likely to make it far easier to push through his economic agenda.

The yield on Dutch government bonds turned negative for the first time Monday morning, falling to minus 0.004 percent as Brexit jitters continued to send investors towards safe-haven sovereign bonds.

Back in the U.S, Treasury auctions Monday will include $37 billion worth of 13-week notes, and $32 billion worth of 26-week notes.

No major data are expected.