Short-term benchmark interest rates dipped anew at Monday’s auction, June 7, of the government IOUs at the Bureau of the Treasury.

Investors lapped up the 91-day Treasury bills, with demand for the three-month government IOUs reaching P26.36 billion during Monday’s auction of the debt papers.

The yield eased to 1.176 percent from the 1.235 percent posted a week ago.

The government only accepted P7 billion of the total tenders.

Meanwhile, yield on the 182-day T-bill slightly eased to 1.422 percent from the previous 1.472 percent as investors were willing to buy P28.86 billion of the six-month IOUs.

The government only accepted P7 billion. Interest rates on the 365-day T-bill also fell to 1.649 percent from the previous 1.723 percent with total tenders for the one-year paper amounting to P37.3 billion, of which the government accepted only P7 billion.

National Treasurer Rosalia de Leon said interest rates declined with steady inflation and good progress on COVID-19 vaccination. The national government has P34 billion maturing oblations this week.

Source: Manila Bulletin (