The Bureau of the Treasury (BTr) has fully awarded the reissued seven-year treasury bonds auctioned yesterday even as the rate rose for the said government securities.
Tenders for the bonds with remaining life of three years and seven months amounted to P56.236 billion.
The BTr fully awarded the program of P35 billion.
“Markets priced in expectations of BSP (Bangko Sentral ng Pilipinas) turning hawkish with June print of 6.1 percent, higher than consensus,” Rosalia de Leon, national treasurer, said.
The average of 5.999 percent is 39.4 basis points (bps) higher than the previous rate of 5.514 percent.
“The average rate is about 20 bps higher than secondary level,” de Leon said.
Last Monday, the BTr also fully awarded bids for the auctioned treasury bills even as rates rose across all tenors.
The auction was 2.2 times oversubscribed with total tenders reaching P32.8 billion.
With its decision, the BTr fully awarded the program of P15 billion for the short-term IOUs.
