Market's $164 billion bond auction test

The US Treasury is set to hold bond auctions for 3-year and 10-year notes today, with the market still cautious about supply and seeking a comfortable level for yields. The 3-year sale is expected to be a $50 billion new issue selling around 3.50%, while the 10-year sale is a reopening of last month's new issue for another $37 billion, currently trading at 4.27%.