Investors snubbed the longer dated Treasury bills instruments as they stayed at the short end of the interest rate spectrum with an oversubscription for the 30-day Treasury bills but left unfilled the 3-month and 6-month instruments at today’s auction to raise $1.2 billion for the Government of Jamaica.
Treasury bills maturing Friday, 19 July 2013 attracted $499,693,300 for the $400,000,000 that was available and provided yields of 5.5 percent to a high of 7.534 percent with the average yield being 6.02245 percent to successful bidders.
The three month issue that matures on Friday, 20 September 2013 for $400,000,000 but only attracted $284,330,500 and provided yields of 5.5 percent to a high of 7.81356 percent, with the average yield being 6.75847 percent, representing an increase of nearly 15 basic points over the May issue.
The development today is in contrast to the May 24th Treasury Bill auction when both the six months and three months’ issues were heavily oversubscribed twice over. The average yield for the three months was then 6.6197 percent with a range of 5.54998 to 6.68779.
The six month issue that matures Friday, 20 December 2013 was also for $400,000,000 but attracted just $201,628,400 but provided yields of 5.99999 percent to a high of 8.28964 percent with the average yield being 7.1203 percent, resulting in an increase in rates of 68 basic points.
The six months instrument yielded between 5.75 percent and 6.8799 percent with the average being 6.4437 percent in May.
[…] and 6.5 percent. In June 2013 investors rebuffed government’s the 90 days and 182 days offers of Treasury bills. The three months issue that matured on 20 September 2013 for $400 million attracted just […]