The U.S. Treasury’s $13 billion reopening of 20-year bonds produced a high yield of 5.163%, the second-highest level since the maturity was reintroduced in 2020.

The auction yield was 0.5 basis points above the 5.158% when-issued yield at the 1 p.m. New York bidding deadline. The slight auction tail indicated that investor demand was somewhat weaker than expected.

Primary dealers were allocated 14.7% of the offering, their largest share since February. A higher dealer allocation generally suggests softer demand from other investors.

Indirect bidders, a group that typically includes foreign central banks and major international institutions, received 69.1% of the bonds. The share awarded to direct bidders declined to 16.2%.

The bid-to-cover ratio was 2.64, below the 2.74 average for the previous six reopening auctions, providing another indication of weaker demand for long-term U.S. government debt.