And so we reach the last auction in what has been a record supply of over a quarter trillion in bills and coupon notes this week, with today's sale of $29 billion in 7 Year paper.

Continuing the trend set by the recent 2Y and 5Y bond auctions, today's 7Y year was mediocre at best but certainly not a disaster. The auction stopped out at a high yield of 2.839%, a tail of 0.7bps to the 2.832% When Issued, far above the 2.565% in January and the highest yield since March 2011.

The internals were also average, with the Bid to Cover dropping from last month's 2.732 to 2.488, below the 6 auction average of 2.53

Indirects also declined, dropping from 78.1% to 62.3%, below the 66.7% 6-average, and with Directs rising from 10.2% to 15.6%, perhaps as a result of Pimco buying again, Dealers were left with 22.1% of the award, double last month's 11.7%.