Auction Results: MGS 4/33 Reopening
· Robust bids. Today’s 15y MGS 4/33 reopening auction garnered a strong bid/cover of 2.474x on a slightly larger-than-expected total size of MYR3.5b (MYR2.5b auction + MYR1b private placement). The 25bps OPR hike was not totally unexpected by market hence the overall impact to bonds is neutral. Our economic research maintains the view of a single rate hike this year, and we expect the curve to get flatter.
· Successful yields averaged 4.446% and cut off at a high of 4.455%, within the wide 4.52/41% pre-auction WI range. Lowest successful yield is 4.415%.
· Next on the auction schedule is the new Islamic benchmark issue 7.5y GII 8/25 which we estimate a MYR4b size.
Bid to cover: 2.474
Highest yield: 4.455%
Average yield: 4.446%
Lowest yield: 4.415%
Cut off: 2%
Regards,
Winson Phoon, ACA
(65) 6231 5831
Se Tho Mun Yi
(603) 2074 7606
This message is intended only for the use of the person to whom it is expressly addressed and for the purpose of the subject of this email and may contain information that is confidential and legally privileged. If you are not the intended recipient, you are hereby notified that any use, reliance on, reference to, review, disclosure or copying of the message and the information it contains for any purpose is prohibited. If you have received this message in error, please notify the sender by reply e-mail of the misdelivery and delete all its contents.
Opinions, conclusions and other information in this message that do not relate to the official business of Malayan Banking Berhad shall be understood as neither given nor endorsed by it.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.