The Bank of Jamaica’s latest offering of $47 billion to the public in certificates of deposit (CD), resulted in a fall in rates with an average of 9.98 percent at the auction that attracted $60.6 billion in 445 bids of which 358 were successful with the highest rate peaking at 10.35 percent.
This week’s rate is 16 percent lower than the peak on April 5, this year, with the average rate then of 11.59 percent.
The average rate of today’s auction is the lowest in months and is lower than last week’s average of 10.19 percent following an auction of $34.5 billion which cleared at an average of 10.19 percent. The total amount of 30 days CD outstanding is $128.5 billion.
Investors should pay attention to developments in this section of the financial market to get an early reading as to the trend in interest rates and not on Bank of Jamaica overnight rate.
BOJ CD rates fall below 10%
May 30, 2024 by
