FW: Fixed Income Daily Pulse - 26 October 2017

 

 

Good Morning,   We apologize for the delay as we faced some technical issue yesterday. Thank you.
Yesterday’s trade recap by our trading desk:-
·         Ahead of ECB’s rate decision tonight, market traded cautiously with yields largely unchanged on the front end of the curve. However, during the 30Y MGS reopening auction, its yield shot up to close with a long tail at a high of 5.00%; averaging 4.957, low 4.85%. Post auction, the bond was quoted at 5.00-95% level with nothing traded. Strong demand is seen capping the stock at 5%; which is generally the target return level for many asset managers in MYR assets.
Malaysia Government Bonds Benchmark Issues MGS Closing Level (%) Change (bp) Volume (RM m) 3-yr 3.520 - 7 5-yr 3.750 +2.5 1 7-yr 4.000 - - 10-yr 4.020 +1.0 - 15-yr 4.450 - 4 20-yr 4.635 - - 30-yr 5.000 +10.0 412 Source: BondStream, AmBank	Interest Rate Swap Closing Rates IRS Closing Yield (%) Change (bp) 1-yr 3.525 0.5 3-yr 3.660 1.0 5-yr 3.805 1.0 7-yr 3.975 5.0 10-yr 4.050 1.0 Source: Bloomberg, AmBank

 

Best regards,

Fixed Income Research & Strategy

AmBank Research, AmBank (M) Berhad

+603 2036 2292 (DL) +03 2031 7218 (Fax)

Level 15, Bangunan AmBank Group, 55 Jalan Raja Chulan, 50200 Kuala Lumpur

 

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