The average rate on Treasury bills (T-bills) were higher at Monday’s auction, with strong demand amid concerns over inflation and rising tensions in the Middle East.
Yield on the benchmark 91-day T-bill rose to 5.586 percent from 5.444 percent last week while the average rate on the 182-day debt paper was up at 5.752 percent from the previous level of 5.668 percent. Yield on the 364-day T-bill climbed to 5.751 percent from 5.623 percent last week.
Total tenders reached P56 billion, nearly three times the P20 billion offered by the Bureau of the Treasury.
The inflation rate in October is expected to rise after slipping to 1.9 percent in September. Inflation data are due next week.
While the current inflation outlook still supports less restrictive monetary policy, the Bangko Sentral ng Pilipinas said it was watching upside risks to inflation, including geopolitical tensions.
