FW: Fixed Income Daily Pulse - 11 September 2017

 

Good Evening,
Today’s trade recap by our trading desk:-
·         Over the weekend, Hurricane Irma hit Florida with a Category-4 rating and unexpectedly weakened after landfall; while North Korea had its foundation day as well but no missiles were fired. As UST failed to catch any haven bid, some gains from the week earlier were pared and yields rose to 2.09% levels while the USD strengthened slightly. Onto the local bond space, the market traded cautiously on a quiet start to the week. Prices were quoted slightly wider as yields closed the day 1bps higher across. Traded volume softened but there were still buying flows on certain particular stocks, especially the front end of the curve and 7Y MGS which saw higher traded volume as compared to the rest.
Malaysia Government Bonds Benchmark Issues MGS Closing Level (%) Change (bp) Volume (RM m) 3-yr 3.310 +1.0 27 5-yr 3.475 - 12 7-yr 3.765 - 48 10-yr 3.835 +1.0 1 15-yr 4.280 +1.0 171 20-yr 4.490 +1.0 1 30-yr 4.735 +1.0 11 Source: BondStream, AmBank	Interest Rate Swap Closing Rates IRS Closing Yield (%) Change (bp) 1-yr 3.480 -1.5 3-yr 3.585 -0.9 5-yr 3.680 -0.7 7-yr 3.780 -3.5 10-yr 3.925 0.5 Source: Bloomberg, AmBank