Fixed Income Daily Pulse, 27 April 2015

The day’s trade recap (from our trading desk):

·        Today was a quiet start to the week for local govvies as yields traded sideways in a tight range for most of the day, except for 15-year benchmark, MGS ‘04/30, which was done towards the end of day with the yields closed 4 bps lower. Market seems unsure of the direction of local govvies at the moment with most preferring to sit on the side-lines. Volume was comparatively thin in a serene trading day. Over the GG/AAA segment, Prasarana Malaysia ‘03/19 and ‘08/28 traded 1 and 2 bps lower to 3.82% and 4.50% respectively, with RM150m changed hands. Meanwhile, Malaysia Airports Capital ‘12/22 and ‘12/24 declined 1 and 7 bps respectively, with a collective trading volume of RM25m. Elsewhere in the AA segment, Sarawak Energy ‘07/24 traded 1 bp lower to 4.67% with RM20m changed hands.    MGS Benchmark Issues MGS Closing Level (%) Chg (bp) Vol (RM m) 3-yr 3.280 -1.0 3 5-yr 3.580 0.0 269 7-yr 3.740 0.0 115 10-yr 3.840 0.0 56 15-yr 4.020 -4.0 165 20-yr 4.160 -2.0 10 30-yr 4.550 -1.0 1 IRS Closing Rates IRS Closing Yld (%) Chg (bp) 1-yr 3.610 0.0 3-yr 3.630 0.0 5-yr 3.770 0.0 7-yr 3.925 -1.5 10-yr 4.085 0.0 Source: Bloomberg, AmBank

               

  

Local News:

·           None.