Strong investor demand allowed the Bureau of the Treasury to fully award its Treasury bill offering on Monday, raising P54.8 billion, or P8.8 billion more than the P46-billion amount on offer.
Total tenders reached P167 billion, about 3.6 times the amount offered, underscoring continued appetite for short-term government securities.
The auction produced mixed movements in yields, with the shortest-dated 91-day bill inching higher as investors demanded a slightly better return, while rates for the six-month and one-year securities continued to ease.
The average yield on the 91-day T-bill rose to 5.008 percent from 4.995 percent at the previous auction.
By contrast, the 182-day bill fetched an average rate of 5.442 percent, down from 5.545 percent, while the 364-day T-bill yield declined to 5.613 percent from 5.723 percent.
The results suggest investors remained willing to lock in funds for longer periods at slightly lower yields, even as demand for the shortest tenor pushed its rate marginally higher.
For the Treasury, the robust bidding provides room to raise more than the programmed amount while keeping borrowing costs contained on the longer maturities.
The strong turnout also comes as markets continue to assess the direction of domestic interest rates and inflation. With the Treasury scheduled to auction bonds on Tuesday, investor appetite for government debt will offer another indication of how markets are positioning for the months ahead.
