Tenders for TDF rise on Wednesday

MANILA -- Tenders for the Bangko Sentral ng Pilipinas' (BSP) Term Deposit Facility (TDF) rose substantially during Wednesday's auction.

Data released by the central bank showed tenders for seven-day TDF reached PHP53.545 billion, higher than the PHP40 billion offering and last week's PHP27.785 billion.

Bid coverage ratio of the shorter-dated TDF also rose to 1.3386 from 0.6946 during the auction last Sept. 27.

The lower end of the accepted yield rose to 3.3200 from last week's 3.3000 while the upper end is still at 3.4000.

Weighted average accepted yield, meanwhile, fell to 3.3664 percent from last week's 3.3678 percent.

Bid coverage ratio of the 29-day facility registered an uptick to 0.9483 from last week's 0.7235.

Tenders amounted to PHP94.833 billion from last week's PHP79.590 billion. Offering has been cut to PHP100 billion from PHP110 billion.

Accepted yield was set between 3.450 and 3,500, the lower end of which is higher than the 3.449 last week.

Weighted average accepted yield went up to 3.4939 percent from 3.4907 percent.

For the auction on Oct. 11, the seven-day TDF will be offered for PHP40 billion and the 28-day for PHP100 billion. (PNA)