
Treasury 2-Year Note Auction Stops at 4.189%, Highest Since January 2025
The U.S. Treasury sold $69 billion of two-year notes on June 23 at a 4.189% high yield, the highest stop since January 2025, with a 2.64 bid-to-cover and strong demand.
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The U.S. Treasury sold $69 billion of two-year notes on June 23 at a 4.189% high yield, the highest stop since January 2025, with a 2.64 bid-to-cover and strong demand.

The two-year Treasury yield rose to its highest since February 2025 on June 22 as markets repriced toward a 2026 Fed rate hike ahead of Thursday’s May PCE report.

Who holds the $39 trillion U.S. national debt in 2026? Foreign investors own $9.35T led by Japan, the Fed holds about $4.4T, and federal trust funds hold $7.64T.

The Fed held rates at 3.50 to 3.75 percent on June 17, 2026, but its new dot plot flipped toward a 2026 hike at Kevin Warsh’s first meeting. Prime stays 6.75 percent.

Treasury sold $13 billion of 20-year bonds at a 4.927% high yield on June 16, drawing a 2.75 bid-to-cover and 71.2% indirect demand, the strongest 20-year sale since January.

The U.S. debt ceiling caps how much the Treasury can borrow to pay bills Congress already approved. Here is how the $41.1 trillion limit works and when it binds next.
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