BTr falls short of target for bond sale

THE Bureau of the Treasury (BTr) managed to raise half of what it intended to borrow from local investors despite the 10-year bond yield rising by 80 basis points (bps) on Tuesday.

- BY REINE JUVIERRE ALBERTO @reine_alberto

For the second time this month, the Treasury partially accepted bids for Treasury bonds (T-bonds)—this time the 10-year tenor—and raised P10.207 billion.

The amount is P9.793-billion short of the Treasury's target as investors, jittery with risks from an escalating conflict in the Middle East, maintained positions to seek higher returns.

Tenders for the 10-year debt papers reached P23.296 billion, or 1.2 times oversubscribed the P20-billion offering. Demand is much lower than the P72.665 billion tendered in the previous 10-year T-bond auction.