The Bureau of the Treasury (BTr) said Monday it raised P25 billion from an auction of Treasury bills (T-bills), with total bids more than six times the amount on offer.
It said the auction was oversubscribed, as total tenders reached P154.15 billion, exceeding the government’s P25-billion offer.
The BTr awarded the full P8.5 billion for both 91-day and 182-day T-bills, attracting total tenders of P47.86 billion and P53.92 billion, respectively.
Meanwhile, the Treasury awarded P8 billion for 364-day T-bills despite receiving P52.37 billion in total tenders.
The average yields were 4.950 percent for the 91-day T-bills, 5.148 percent for the 182-day T-bills and 5.272 percent for the 364-day T-bills.
“Treasury bill average auction yields were again mostly slightly lower for the 11th straight week,” said Michael Ricafort, chief economist at Rizal Commercial Banking Corp. (RCBC).
He said this was because comparable short-term PHP BVAL (Bloomberg Valuation) yields have also declined, “mostly to new 2.5-year lows or since early 2023 amid the series of BSP rate cuts in recent months and possible BSP and Fed rate cuts in the coming months.”
This encouraged more investors to lock in yields before rates fall further, Ricafort said.
