The Bureau of the Treasury (BTr) has partially awarded bids for the treasury bills auctioned yesterday as it capped rates across all tenors.
The auction was more than 1.5 times oversubscribed, attracting tenders of P22.6 billion.
The BTr however opted to award P10.5 billion of the P15 billion offering and rejected the rest.
“As expected, markets asked for high premium to cushion against upward adjustments in rates delivered by Fed and to be followed on Thursday by the Monetary Board to quell rising price pressures,” Rosalia de Leon, national treasurer, said.
“While incoming (Bangko Sentral ng Pilipinas) Governor (Felipe) Medalla spoke of gradual tightening, some analysts still see a 50 basis points (bps) move following the 75 bps delivered by Fed to slash elevated inflation,” she added.
The 91-day security was capped at an average rate of 1.759 percent, 18.7 bps higher than the previous average of 1.572 percent.
Tenders amounted to P11.285 billion, with the government awarding P3.07 billion versus the P5 billion program.
The 182-day paper was capped at 2.132 percent, 19.8 bps up from the previous rate of 1.934 percent.
Demand totaled to P5.82 billion, with the BTr awarding P3.62 billion of the P5 billion offer.
The rate of the 364-day IOUs was capped at 2.454 percent, 12.9 bps higher versus the previous rate of 2.325 percent.
Tenders amounted to P5.5 billion, with the government awarding P3.85 billion versus the P5 billion program.
