Results were mixed during the Treasury bills (T-bills) auction on Monday, as the Auction Committee decided to fully award bids for the 180-day and 364-day T-bills while partially awarding the 91-day security.
Average rates for the 180-day and 364-day T-bills fell below prevailing secondary market rates, settling at 5.607 percent and 5.651 percent, respectively. In contrast, the 91-day security was capped at an average of 5.526 percent.
Last week, the average rates for the 91-day, 182-day, and 364-day T-bills were recorded at 5.530 percent, 5.557 percent, and 5.655 percent, respectively.
“The Treasury bill average auction yields were mostly corrected marginally lower by -0.004 for the 91-day and 364-day tenors, except for the +0.05 weekly rise in the 182-day tenor, after global crude oil prices declined to the lowest in more than two weeks, erasing all of the world oil price increase since the Israel-Iran conflict started amid the tentative ceasefire between the two countries as announced by Trump,” said Michael Ricafort, chief economist at Rizal Commercial Banking Corporation.
The auction was 2.3 times oversubscribed, with total tenders reaching PHP57.7 billion. With its decision, the Committee successfully raised PHP24 billion out of the PHP25 billion planned offering.