Treasury bill yields were higher at the auction Monday, reflecting the rise in the secondary market after cautious comments from the U.S. Federal Reserve on the outlook for monetary policy easing.
The Bangko Sentral ng Pilipinas sometimes takes its cue from the U.S. monetary authority. The BSP had earlier cut benchmark interest rates and eased the banks’ deposit reserve ratios.
The average rate on the 91-day T-bill rose to 5.631 percent from 5.605 percent last week while the rate on the 182-day debt paper climbed to 5.862 percent from 5.752 percent. Yield on the 364-day T-bill inched up to 5.871 percent from 5.790 percent.
Total tenders was 2.6 times the offered amount of P20 billion. Total bids reached P51.7 billion, prompting the auction committee to double the accepted non-competitive bids for the 91-day paper to 5.2 billion. This pushed the total amount raised to P22.6 billion.
