FW: Fixed Income Daily Pulse - 22 January 2018

 

 

Good Evening,
Today’s trade recap by our trading desk:-
·         The local bond market started the week on a rather quiet note as market players took to the sidelines in anticipation of this week’s MPC meeting; coupled with uncertainties in the global markets with US government on shutdown after lawmakers failed to agree on a spending bill and missed the deadline. Local yields remained largely unchanged today with paper thin liquidity in both MGS and GII space. On the other hand, MYR largely traded sideways at 3.9400 level throughout the day before seeing sudden boost to 3.9320 level near day end when EU markets opened. With differing opinions on the possibility of a rate hike, expect the market to remain cautious until this Thursday’s OPR decision.
Malaysia Government Bonds Benchmark Issues MGS Closing Level (%) Change (bp) Volume (RM m) 3-yr 3.350 - 3 5-yr 3.590 - 8 7-yr 3.945 - 8 10-yr 3.960 - - 15-yr 4.455 - 501 20-yr 4.660 - - 30-yr 4.900 +2.0 54 Source: BondStream, AmBank	Interest Rate Swap Closing Rates IRS Closing Yield (%) Change (bp) 1-yr 3.640 0.0 3-yr 3.788 0.5 5-yr 3.890 1.3 7-yr 3.980 1.8 10-yr 4.105 0.5 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

 

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