Five-Year Note Auction Attracts Above Average Demand

With the Christmas holiday looming, the Treasury Department released the results of this month’s auction of $41 billion worth of five-year notes a little earlier than normal on Tuesday, revealing that the auction attracted above average demand.

The five-year note auction drew a high yield of 1.756 percent and a bid-to-cover ratio of 2.49.

Last month, the Treasury also sold $41 billion worth of five-year notes, drawing a high yield of 1.587 percent and a bid-to-cover ratio of 2.50.

The bid-to-cover ratio is a measure of demand that indicates the amount of bids for each dollar worth of securities being sold.

The ten previous five-year note auctions had an average bid-to-cover ratio of 2.39.

Following the holiday, the Treasury is due to announce the results of its auction of $32 billion worth of seven-year notes on Thursday.

Treasury yields slide after 5-year note auction sees strongest demand since 2016

U.S. Treasury yields came off their highs on Tuesday after a $41 billion sale for 5-year notes recorded its most successful result since 2016, based on a widely-watched metric of auction demand. Analysts also said the low trading volume in the last day before Christmas helped contribute to the sharpness of the bond rally. The 10-year Treasury note yield TMUBMUSD10Y, -0.54% fell 2.8 basis points to 1.907%, while the 2-year note rate TMUBMUSD02Y, -0.10% was down 1.4 basis points to 1.643%. The 30-year bond yield TMUBMUSD30Y, -0.57% slipped 3.1 basis points to 2.330%. The auction "stopped through" by 1.6 basis points, its biggest gap since Feb. 2016. In other words, the highest yield the Treasury sold in the auction was 1.6 basis points below the highest yield expected when the auction began – the "when issued" level.

Hong Kong Police Fire Tear Gas on Christmas Eve Amid Protests

Hong Kong riot police fired tear gas at crowds in a popular shopping district on Christmas Eve as protesters took to streets and malls to demand greater democracy.

At about 9 p.m., the police used the gas to disperse protesters outside the Peninsula Hotel in Tsim Sha Tsui after making an arrest. Officers also clashed with protesters inside shopping malls, used pepper spray and made a few arrests. Hundreds of demonstrators, many wearing masks, turned up at multiple locations including Mong Kok, Causeway Bay and Yuen Long.

Hong Kong has endured more than six months of clashes between protesters and police, ignited by a proposed extradition law to allow fugitives to be sent to China to stand trial. The unrest has killed off any economic momentum, with the city entering its first recession in a decade. Though the bill was withdrawn, protests have persisted with more demands, including direct elections of the city’s leader.

Why Hong Kong Is Still Protesting and Where It May Go: QuickTake

Protests will likely continue into the new year. Civil Human Rights Front, organizer of some of Hong Kong’s biggest peaceful protests, is calling for a march through the city’s center on Jan. 1. The organizer said it has applied for a police permit.

Will Microbot Medical’s Robotic Surgery System Be a Big Hit?

Microbot Medical Inc. (NASDAQ: MBOT) shares made a massive gain on Tuesday after the company revealed its Liberty system, which would be the world’s first fully disposable robotic system for use in neurovascular, cardiovascular and peripheral vascular procedures.

The Liberty robotic system is said to have the capability to be operated remotely, reduce radiation exposure and physical strain to the physician, as well as the potential to eliminate the use of multiple consumables through its “One & Done” capabilities.

Microbot is set to publicly display and demonstrate its Liberty system to investors, journalists and health care industry leaders on Monday, January 13, 2020, in San Francisco.

Harel Gadot, CEO, president and board chair, commented:

Liberty is set to revolutionize the way surgical robotics are being used in endovascular procedures, by eliminating the need for capital equipment, reducing radiation exposure and aiming to streamline the use of disposables during these complex procedures. In addition, with Liberty’s remote operation as well as its “One & Done” capabilities, we believe it has the potential to be the first system to democratize endovascular interventional procedures.

Excluding Tuesday’s move, Microbot had outperformed the broad markets, with its stock up about 488% year to date. In the past six months, the stock was up 106%.

Shares of Microbot Medical were last seen up about 60% at $16.23, in a 52-week range of $1.48 to $19.40. The consensus price target is $10.00

CANADA STOCKS-TSX dips at open as financials drag

Dec 24 (Reuters) – Canada’s main stock index edged lower on Tuesday in thin trading ahead of Christmas as gains in energy stocks were offset by losses in financial shares.

* At 09:34 a.m. ET, the Toronto Stock Exchange’s S&P/TSX composite index was down 13.8 points, or 0.08%, at 17,114.91. (Reporting by Sruthi Shankar in Bengaluru; Editing by Krishna Chandra Eluri)

Iraq's Sadrist movement plays key role in protests

A defining feature of Iraq’s protests has been the complete rejection of all political parties, but a group led by a Shia Muslim leader has managed to stay onside.

A defining feature of Iraq’s months-long anti-government demonstrations has been the complete rejection of all political parties.

But one movement has managed to stay onside: the Sadrists, led by Shia Muslim leader Muqtada al-Sadr.

Al Jazeera’s Simona Foltyn reports from Baghdad.