Treasury bill rates continue to rise

The average rates for all Treasury bill (T-bill) tenors increased on Monday, July 4, ahead of the government’s release today of the June inflation which is expected to hit six percent. Based on data from the Bureau of the Treasury (BTr), yield on the 91-day T-bincreased to 1.908 percent from 1.855 percent last week on high inflation worries. The average rate on 182-day T-bills also rose to 2.608 percent versus 2.400 percent while the 364-day tenor averaged at 2.811 percent, also up from 2.630 percent last June 27. The BTr fully-awarded all tenors. For the 91-day, it received ₱18.673 billion tenders against a ₱5-billion offer, rejecting ₱13.673 billion. The government also accepted ₱5 billion for the 182-day tenor after receiving ₱6.376 billion. Bids for the longer-dated 364-day T-Bills amounted to ₱7.710 billion versus offer of ₱5 billion. National Treasurer Rosalia V. De Leon said on Monday that they had full awards for all tenors. “Rates sustained upward adjustments with inflation forecast from BSP (Bangko Sentral ng Pilipinas) exceeding 6% (percent),” said de Leon. “Market seeing BSP delivering harder rate punch to quash inflation,” she added. (Lee C. Chipongian)