After yesterday's mediocre 3Y auction, moments ago the Treasury held a stellar 10Y reopening (of cusip QQ7). The sale of $39 billion in 9 Year-11 Month paper priced at a high yield of 4.538%, up from 4.468% last month, and 0.1bp through the 4.539% When Issued. This was the first stop through following 4 sequential tails for the tenor. {chart} The bid to cover rose from 2.402 to 2.565, well above the six-auction average and the highest since Sept 25. Internals were impressive: indirects surged to 78.21% from 63.95%, which was one of the 5 highest on record; the last time we saw such feverish foreign demand was in Sept ... (full story)