Mr. Ablin said that because the five-year note being auctioned today offered a higher yield it could attract more investors.

By late in the day in when-issued trading the five-year note being auctioned today was offered at a price to yield 5.99 percent.

Yesterday was also the settlement day for the $18 billion of notes auctioned by the Treasury last week.

The 10-year notes auctioned on Wednesday were trading at a price yesterday to yield 8.42 percent.

The 10-year note auctioned on Wednesday was also off sharply, falling 5/8 of a point, to yield 6.56 percent, compared with 6.47 percent the day before.

They were buying everything, including the 10-year notes auctioned on Wednesday, as well as the bonds.

For example, the yield range on the two-year notes just auctioned was about 30 basis points in Tokyo and London during the past few trading sessions.

The new two-year notes auctioned last Tuesday rose 7/ 32, to 100 6/32, for a yield of 9.64 percent.

In when-issued trading, the seven-year note being auctioned today was offered at a price to yield 6.37 percent.

In when-issued trading late yesterday, the 10-year note being auctioned today was offered at a price to yield 6.59 percent.