PNA file photo by Ben Briones
MANILA – There was low demand for the Bangko Sentral ng Pilipinas (BSP) bills this week, with both tenors attracting lower-than-offered tenders and the rates registered in mixed directions.
The central bank hiked by PHP10 billion the offering for the 28-day debt paper to PHP110 billion but bids only amounted to PHP107.015 billion. The auction committee awarded PHP106.715 billion.
But it lessened by PHP10 billion the offer volume for the 56-day paper to PHP20 billion. However, tenders only amounted to PHP19.96 billion, which the auction committee fully awarded.
The rate of the shorter-dated securities increased to 6.7159 percent from 6.7108 percent during the auction last Aug. 4.
Meanwhile, the average rate of the longer tenor declined to 6.7303 percent from last week’s 6.7356 percent.
In a statement, BSP Deputy Governor Francisco Dakila Jr. said the accepted range of yields for the 28-day paper narrowed to 6.6990 to 6.7400 percent this week, while it was steady for the 56-day tenor at between 6.6500 to 6.8000 percent.
“The BSP’s monetary operations will continue to be guided by its assessment of prevailing liquidity conditions and market developments,” he added. (PNA)
