FW: Fixed Income Daily Pulse - 28 September 2017

 

 

Good Evening,
Today’s trade recap by our trading desk:-
·         The movement in UST yields and the strength of USD was dictating movements in the local market today. As UST 10y rose to 2.35% during the day on the back of tax plans announced in the US coupled with a hawkish Fed, the local market was under selling pressure as yields rose 3-6bps across. This was also contributed by a weak 15Y GII auction today was saw a 12 bps high/low range averaging 4.579%. Liquidity in the secondary market was dry in such market conditions and traded volume was rather light.
Malaysia Government Bonds Benchmark Issues MGS Closing Level (%) Change (bp) Volume (RM m) 3-yr 3.410 +3.5 10 5-yr 3.600 +2.5 - 7-yr 3.855 +5.0 76 10-yr 3.945 +6.0 - 15-yr 4.350 +2.5 70 20-yr 4.565 +3.5 2 30-yr 4.820 +2.0 - Source: BondStream, AmBank	Interest Rate Swap Closing Rates IRS Closing Yield (%) Change (bp) 1-yr 3.510 1.0 3-yr 3.630 1.5 5-yr 3.750 2.0 7-yr 3.850 1.0 10-yr 3.980 1.0 Source: Bloomberg, AmBank