The Bureau of the Treasury (BTr) has fully awarded bids for the reissued seven-year treasury bonds yesterday amid healthy demand for the government IOUs.
The auction was 2.1 times oversubscribed, attracting P75.2 billion in total tenders.
With its decision, the BTr was able to raise the full program of P35 billion.
With a remaining term of six years and nine months, the security fetched an average rate of 6.796 percent.
This is 14.7 basis points lower than the previous average of 6.943 percent.
In the secondary market, the rate for the seven-year benchmark is 6.76 percent.
Last Monday, results were mixed during the treasury bills auction as the BTr decided to fully award bids for the 91- and 182- day securities while partially awarding the 364-day paper.
The 91- and 182-day IOUs fetched average rates of 4.155 percent and 4.903 percent, respectively.
Meanwhile, the 364-day security was capped at an average rate of 5.24 percent.
The auction was more than twice oversubscribed, with total tenders reaching P30.3 billion.
With its decision, the BTr raised P13.7 billion of the P15 billion offering.
