MANILA – The Bureau of the Treasury (BTr) fully awarded bids for Treasury bills (T-bills) on Monday.
The 91-, 182-, and 364-day T-bills fetched average rates of 5.743 percent, 5.940 percent and 5.973 percent, respectively – all lower than the previous auction and prevailing secondary market rates.
Last week, the average rates of 91-, 182-, and 364-day T-bills were 5.840 percent, 5.980 percent, and 6.029 percent.
The comparative PHP Bloomberg Valuation Service yield was at 5.862 percent for the three-month tenor, 5.990 percent for the six-month tenor, and 6.012 percent for the one-year tenor.
"Treasury bill average auction yields again declined ahead of the latest Fed rate-setting meeting on September 18, 2024 amid some market expectations of a possible larger -0.50 [basis points] Fed rate cut," Rizal Commercial Banking Corporation chief economist Michael Ricafort.
Ricafort said this is similar to the recent week-on-week decline in the comparable short-term PHP BVAL yields amid stronger peso exchange rate against the US dollar.
The auction was 3.9 times oversubscribed, attracting PHP77.9 billion in total tenders.
With its decision, they raised the full program of PHP20 billion for the auction. (PNA)
