Debt yields rise as BSP easing cycle nears end

YIELDS on government securities (GS) traded in the secondary market mostly rose last week after the Bangko Sentral ng Pilipinas (BSP) signaled an imminent end to its easing cycle.

- By Abigail Marie P. Yraola Deputy Research Head

GS yields, which move opposite to prices, went up by 4.86 basis points (bps)

on average week YIELD TRACKER Remolona, Jr. on week, based on PHP Bloomberg Valuation Service Reference Rates data as of Dec. 12 published on the Philippine Dealing System's website.

Yields on the 91and 182-day Treasury bills (T-bills) declined by 0.49 bp and 0.01 bp week on week to 4.863% and 4.9989%, respectively. Meanwhile, the 364-day T-bill inched up by 0.63 bp to yield 5.0583%.

At the belly, yields went up across all tenors. The two-, three-, four-, five-, and seven-year Treasury bonds (T-bond) saw their rates climb by 5.56 bps (to 5.2463%), 8.22 bps (5.3899%), 9.3 bps (5.5242%), 9.04 bps (5.6397%), and 9.93 bps (5.8259%), respectively.