T-bill yields inch up, 91-day rises to 1.044%

Published July 5, 2021, 5:06 PM

by Chino S. Leyco

 The yields on short-term debt papers slightly inched up across the board yesterday due to lingering concerns on coronavirus “Delta” variant and sustained elevated inflation in June, the Bureau of the Treasury said.

At Monday’s auction of Treasury bills, July 5, the bellwether 91-day Treasury bill rate, which banks use in pricing their loans, increased to 1.044 percent from 1.031 percent previously.

The Treasury sold the P5 billion worth of three-month debt papers on offer. Investors however were asking for P16.55 billion of the government security or IOU.

The rates on the six-month T-bills also rose to 1.365 percent from the previous 1.332 percent, with the government accepting bids for P5 billion worth of the 182-day papers on offer even as total tenders reached P16.11 billion.

Moreover, the yield on the one-year debt papers slightly up to 1.575 percent from 1.562 percent as the government accepted P5 billion worth of bids as planned whereas total tenders reached P16.66 billion.