What is BID-TO-COVER?

In the United States, the number of BIDS received in an auction of TREASURY BILLS, NOTES, or BONDS versus the number actually accepted. The higher the bidtocover ratio the greater the demand by investors, and the more successful the auction. A low bidtocover ratio reflects a weak auction, and may be characterized by a long TAIL (i.e., a wide differential between the average and high yields).

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