bid-to-cover ratio investment & finance definition
In U.S. Treasury auctions, the ratio between the number of bids received and the number of bids accepted. The measurement indicates how strong investor demand is for U.S. Treasuries.
Bid-To-Cover Ratio is a ratio used to express the demand for a particular security during offerings and auctions. In general, it is used for shares, bonds, and other securities.
Because the bid-to-cover ratio is held in such high regard by so many investors, it is not unusual for traders to monitor the performance of an issue through a series of auctions before making a decision to place a bid.
BID-TO-COVER RATIO
refers to the number of bids received in a Treasury auction against bids accepted. A high ratio - usually over 2.0x - indicates that the bidding was aggressive and the auction was successful.
BLACK MONDAY ...
Bid-to-cover ratio
The ratio of the number of bids received in a Treasury security auction compared to the number of accepted bids.
bid-to-cover ratio "In a Treasury auction, the number of bids received divided by the number of... bid/ask spread The Bid-Ask Spread, also known as the Bid-Offer Spread, is the quote of the...
 See also: Bid, Share, Cover, Ratio, Income
  
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