The Bureau of the Treasury (BTr) fully awarded bids for the treasury bills during the auction yesterday even as rates rose across all tenors.
The auction was oversubscribed with total bids reaching P55.7 billion, more than 2.7 times the P20 billion offering.
“Rate moved slightly following MB (Monetary Board) decision to pause as well as Fed new framework on inflation target allowing yield curve to steepen,” Rosalia de Leon told reporters in a Viber group after the auction.
“Still, rates remain low with good inshore liquidity as subscriptions are more than twice our ask volume,” she added.
The BTr also said the 91-, 182- and 364-day treasury bills fetched average rates that were all lower than secondary market benchmark rates.
The 91-day paper fetched a rate of 1.18 percent, 4.9 basis points (bps) up from the previous average of 1.131 percent.
Tenders totaled to P15.213 billion, more than thrice the P5 billion program which was fully awarded by the committee.
For the 182-day securities, the rate is 1.421 percent, 1.4 bps higher than the previously recorded yield of 1.407 percent.
Demand reached P15.263 billion, also more than three times oversubscribed versus the P5 billion fully awarded offering.
Lastly, the yield of the 364-day IOU is 1.788 percent, 3.7 bps up from the previous rate of 1.751 percent.
Tenders amounted to P25.26 billion, with the government awarding P10 billion as programmed.