The Bureau of the Treasury’s (BTr) treasury bills auction ended with mixed results as investors sought higher rates for the short-term IOUs.
The BTr decided to partially award bids for the 182-day securities while rejecting bids for the 91- and 364-day papers.
The auction was barely oversubscribed with total tenders reaching P16.3 billion relative to the P15 billion offering.
“Market asking for higher rates as Fed is expected to deliver another large rate hike even a full percentage point determined to quell inflation,” Rosalia de Leon, national treasurer, told reporters via Viber after the auction.
The 182-day paper was capped at an average rate of 3.81 percent.
Tenders amounted to P7.12 billion, higher than the P5 billion offering.
The BTr instead partially awarded P3.16 billion.
Meanwhile, rates for the 91- and 364-day securities reached averages of 3.91 percent and 4.89 percent, respectively, had they been awarded.
