Trading activity in the local bond market today was rather muted after USD strengthen across the board overnight with UST yields rising 4-5bps coupled with dropping oil prices, back below $50/bbl. As a result, MY

Good Evening,
Today’s trade recap by our trading desk:-
·         Trading activity in the local bond market today was rather muted after USD strengthen across the board overnight with UST yields rising 4-5bps coupled with dropping oil prices, back below $50/bbl. As a result, MYR also weakened today by almost 400pips to 4.1850 levels while the market was rather muted. Expectedly, prices were softer today with very low volume traded as the curve shifted upwards by 2bps. Market players were staying on the sidelines in view of tomorrow’s 20Y MGS auction with WI last quoted at 4.28-20 on the wide.
Malaysia Government Bonds Benchmark Issues MGS Closing Level (%) Change (bp) Volume (RM m) 3-yr 2.990 +5.5 20 5-yr 3.285 0.0 106 7-yr 3.510 +2.5 9 10-yr 3.595 +2.0 0 15-yr 4.020 +2.0 0 20-yr 4.280 +2.0 31 30-yr 4.565 -0.5 3 Source: BondStream, AmBank	Interest Rate Swap Closing Rates IRS Closing Yield (%) Change (bp) 1-yr 3.330 +2.0 3-yr 3.390 +1.5 5-yr 3.535 +1.5 7-yr 3.705 +1.5 10-yr 3.930 +1.5 Source: Bloomberg, AmBank
Local News:
None.