malaysiangManila: The Bureau of the Treasury (BTr) fully awarded the reissued 10-year Treasury bonds (T-bonds) on Tuesday.
With a remaining term of nine years and four months, the T-bond fetched an average rate of 5.967 percent, lower than both its previous reissuance and the prevailing secondary market rate.
“The 10-year Treasury bond average auction yield eased to 5.967 percent, lower versus the comparable 10-year PHP BVAL yield of 6.06 percent as of September 16, 2024,” Rizal Commercial Banking Corporation chief economist Michael Ricafort said in a Viber message.
Ricafort said the auction yield was also from the previous 10-year T-bond average auction yield of 6.21 percent.
He said this is amid the recent market expectations of a possible larger Fed rate cut on the next Fed rate-setting meeting on Sept. 18, 2024.
The auction was 3.2 times oversubscribed, with total tenders reaching PHP96.3 billion relative to the PHP30 billion offering.
The BTr’s decision raised the full program of PHP30 billion, bringing the
total outstanding volume for the series to PHP231.9 billion.
Source: Philippines News Agency
