The Bureau of the Treasury (BTr) has made a partial award for the newly-issued three-year treasury bonds yesterday as the market sought higher rates.
Demand reached P53.58 billion versus the P35 billion offering.
The BTr opted to make a partial award of P25.79 billion and rejected the rest.
“Market remains defensive with four percent inflation print for March and (Bangko Sentral ng Pilipinas or BSP) governor (Benjamin) Diokno statement on BSP rate action in the second half,” Rosalia de Leon, national treasurer, told reporters yesterday.
The partial award fetched a coupon rate of 4.25 percent, 19.5 basis points higher than the 4.055 percent Bloomberg Valuation Service benchmark rate for the same tenor in the previous day.
Had a full award been made, the coupon rate would have been 4.375 percent.
Last Monday, the BTr fully awarded bids for the auctioned treasury bills, after weeks of rejections and mixed results.
The auction was more than 3.6 times oversubscribed with tenders reaching P54.6 billion.
With its decision, the BTr raised the full program of P15 billion. – Angela Celis
