Despite weak demand

Despite weak demand on the $34 bln five-year note sales that spurred broad-selling in Tsys Wednesday afternoon, it doesnt mean US auctions will be poor going forward. It may actually bolster demand for Thursday's $24 bln seven-year note sales because investors who bid on the 5-yr auction may sell the note to buy seven-year notes, says Jeff Feigenwinter, head of Treasury trading at BNP Paribas. With the Fed bond buying program in place, 10-year note's yield will be capped below 3% in the short term, he says