Yield on 6-month Singapore Treasury bill at decades-high of 4.19% in latest auction
November Singapore Savings Bond closes with applications totalling S$2.2 billion, vying for an allotment size of S$900 million
Add BT as a preferred source
Tay Peck Gek
SINGAPORE’S Treasury bill (T-bill) with a six-month tenor auctioned on Thursday (Oct 27) reported a cut-off yield of 4.19 per cent per annum – a record high in decades and 42 basis points higher than the 3.77 per cent on the issuance a fortnight ago.
The risk-free fixed-income instrument last achieved a yield of 4 per cent in 1989 after peaking at 4.73 per cent in 1988, said the Monetary Authority of Singapore (MAS) website, which showed results dating back to 1987.
Yields on six-month T-bills started to nudge above 3 per cent in September, jumping from 2.99 per cent for the Sep 1 auction to 3.32 per cent for the issuance a fortnight later, amid a rising-interest-rate environment as the United States central bank goes on a hiking spree to arrest runaway inflation. And there is a spill-over effect in Singapore.
TRENDING NOW
Yeo’s, Tiger Beer and now Gardenia – flight of food manufacturing from Singapore might be just as planned
Shanda co-founder sells Tanglin Hill bungalow for S$76 million
Nearly half of Apac’s wealthy expect market crash or correction, plan to rotate to cash: study
Jumbo Seafood to close flagship East Coast Seafood Centre outlet on Sep 30
