Elijah Felice Rosales – The Filipino Star

November 7, 2021 | 00h00

MANILA, Philippines – Government bond rates are expected to rise next week amid uncertainties about the economy’s performance in the third quarter, traders said.

Bond traders expect T-Bonds rates to move sideways, while 10-year reissued T-bonds yields, with a remaining nine-year term. and eight months, could rise to 21.1 basis points next week.

“We expect Treasury bill rates to move sideways as demand for short-term debt securities picks up. 10-year T bonds could reach yields of 4.9% to 5.15%, ”said one trader.

“Unlike in previous weeks, the Treasury can anticipate stable rates in the future. Investors have now taken into account the impact of the Fed’s fall, and this may no longer influence the offers they make, ”the trader said.

Another trader said investors will closely monitor the third quarter gross domestic product (GDP) growth results, which is expected to be released on Tuesday.

“What investors will be looking for next week are the country’s third quarter GDP data results,” the trader said.

The Treasury will auction 15 billion pesos in treasury bills tomorrow and sell 35 billion pesos in reissued 10-year treasury bills on Tuesday.

For this month, the Treasury plans to raise 200 billion pesos through the sale of treasury bills and treasury bonds.


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