FW: Fixed Income Daily Pulse - 10 January 2018

 

 

Good Evening,
Today’s trade recap by our trading desk:-
·         After signs of BOJ tapering yesterday with less JGB buying, major bond yields all spiked; with UST rising to 2.57% high before coming back off by 3 bps. As a result, the local markets were hit as well, with selling pressure seen across the curve, especially the GII space. Local bonds were hit the worst on 5y, rising 5bps while the rest of the curve rose 2-3bps. Reopening auction for 5y GII was announced today, with RM4.0bio to be issued. WI was traded at 3.86-85 levels and last quoted there. MYR on the other hand started the day weaker at 4.0130 levels before strengthening towards the end of the day and closed 4.0050 levels.
Malaysia Government Bonds Benchmark Issues MGS Closing Level (%) Change (bp) Volume (RM m) 3-yr 3.355 - 95 5-yr 3.580 +5.0 73 7-yr 3.860 +3.0 58 10-yr 3.885 -1.5 2 15-yr 4.405 +2.0 31 20-yr 4.625 +3.5 20 30-yr 4.865 - - Source: BondStream, AmBank	Interest Rate Swap Closing Rates IRS Closing Yield (%) Change (bp) 1-yr 3.645 0.5 3-yr 3.760 0.2 5-yr 3.840 0.5 7-yr 3.945 0.6 10-yr 4.045 -1.5 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

 

****************************************************************************************************************************************************************************************************************************************************************************************************************

DISCLAIMER:

This message may contain confidential and privileged information for its intended recipient(s) only. If you are not an intended recipient, you are hereby notified that any review, dissemination, and distribution, printing or copying of this message or any part thereof is strictly prohibited. Please delete the entire message and inform the sender of the error. Any opinions, conclusions and other information in this message that are unrelated to official business of AmBank Group are those of the individual sender and shall be understood as neither explicitly given nor endorsed by AmBank Group.

****************************************************************************************************************************************************************************************************************************************************************************************************************