The Bureau of the Treasury (BTr) made a full award on the treasury bills auctioned yesterday as rates fell across all tenors and amid healthy market demand.
The auction was oversubscribed with total bids reaching P60.2 billion, more than thrice the P20 billion offering.
The 91-, 182- and 364-day treasury bills fetched average rates that were all lower than previous auction as well as secondary market benchmark rates.
“Continued strong buying interest on front end of curve at lower rates amidst RTB (retail treasury bond) record issuance,” Rosalia de Leon, national treasurer, said in a Viber group with reporters yesterday after the auction.
Last Friday, de Leon said the government raised P516.3 billion from its RTB offer, of which P488.5 billion is new money and P27.8 billion is from switch subscriptions.
The 91-day paper fetched a rate of 1.113 percent, 10.8 basis points (bps) down from the previous average of 1.221 percent.
Tenders totaled to P16.935 billion, more than three times the P5 billion program which was fully awarded by the committee.
For the 182-day securities, the rate is 1.386 percent, 6.8 bps lower than the previously recorded yield of 1.454 percent.
Demand reached P17.078 billion, also more than thrice oversubscribed versus the P5 billion fully awarded offering.
Lastly, the yield of the 364-day IOU is 1.746 percent, 0.3 bps down from the previous rate of 1.749 percent.
Tenders amounted to P26.285 billion, with the government awarding P10 billion as programmed.
De Leon said the tap facility window for the one-year paper was also opened, for another P5 billion. — Angela Celis