The Bureau of the Treasury (BTr) has raised P22 billion from its treasury bills auction yesterday after it fully awarded all tenors, amid lower rates and healthy market demand.
The total tenders for all tenors amounted to P98.86 billion, nearly five times the P20 billion offering, prompting the committee to double the accepted non-competitive bids for the 91-day securities.
With its decision, the BTr raised a total of P22 billion, exceeding the P20 billion initial offer.
“Lower rates, high bid to cover, as inflation print in September expected to trend lower than last month,” Rosalia de Leon, national treasurer, told reporters in a Viber group after the auction.
“Redemption of P18 billion adds to available liquidity with short term buckets providing reinvestment outlets,” she added.
The 91-day paper fetched a rate of 1.116 percent, 0.5 basis points (bps) lower than the previous average of 1.121 percent.
Tenders totaled to P25.24 billion, more than five times the P5 billion program, prompting the committee to raise the awarded amount to P7 billion.
For the 182-day securities, the rate is 1.6 percent, 0.1 bps down from the previously recorded yield of 1.601 percent.
Demand reached P29.164 billion, nearly six times oversubscribed versus the P5 billion fully awarded offering.
Lastly, the yield of the 364-day IOU is 1.8 percent, 5.8 bps lower versus the previous rate of 1.858 percent.
Tenders amounted to P44.459 billion, more than four times the P10 billion program which was fully awarded. – A. Celis