The Bureau of the Treasury’s (BTr) treasury bills auction yesterday ended with mixed results as the government rejected bids for the 182-day and 364-day IOUs.
The auction for the short-term securities was 2.4 times oversubscribed, attracting P35.8 billion in total tenders.
With its decision, the BTr was able to raise P5 billion of the P15 billion offering, with a full award given for the 91-day paper.
“Market jitters continue with another round of oil price hikes and Fed aggressive tone including 50 basis points (bps) rate hike to tame inflation,” Rosalia de Leon, national treasurer, told reporters after the auction.
“Recent success in dollar market strongly positions BTr to meet disbursements even with rejections in auctions if markets demand an arm and a leg,” she added.
The 91-day paper fetched a rate of 1.587 percent, 5.1 bps higher than the previous average of 1.536 percent.
Demand reached P17.8 billion, more than thrice oversubscribed with the government fully awarding the P5 billion program. – Angela Celis
