Auction Week, Again
We have the second and final part of the auction concluding this week with the re-opened FXD1/2023/5Yr and the FXD1/2023/10Yr being auctioned on Wednesday, 12-June-2024. Below are my initial thoughts on where these two bonds will be priced:
- FXD1/2023/5Yr (4.1 years): 18.00% - 18.20%
- FXD1/2023/10Yr (8.7 years): 16.30% - 16.50%
- Expecting an undersubscription as the market historically favours short dated FXDs at auctions.
To set you up for the week ahead, attached is the CBK weekly report to assist in your reading of the market while updated benchmark Yield Curve levels are ready for your perusal on the attached pricelist. I have also attached the NSE Implied Yields for the NSE’s valuations of all the treasuries. To bring it all together, below is a snapshot of what is at play within the secondary market for your consideration. Happy hunting!
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