An interesting primary auction as the FXD1/2022/3Yr results were released while the CBK announced that the FXD1/2019/15Yr auction was canceled. The FXD1/2022/3Yr results are summarized below:
FXD1/2022/3Yr Average: 13.471%
Subscription: KES 1.757Bn in bids accepted from a total of KES 7.328Bn received.
Comment: Massive rejections as the CBK looked to signal to the market that exorbitant interest rates will not be accepted. The average of all bids received was 13.839%, which was significantly than the accepted average. This is probably the reason behind the FXD1/2019/15Yr auction cancellation.
Attached are the results in full for your perusal.
For your trading activity ahead, below is a snapshot of what is at play within the secondary market for your consideration. Happy hunting! NB: Tomorrow is a public holiday in Kenya to mark Idd-ul-Fitr
Below are the two-way quotes for the benchmark tenors:
Indicative Two-Way Quotes - Benchmark Tenors
Benchmark Tenor
Bid (%)
Offer (%)
Mov (t-t0)%
1Yr
11.00
10.50
0.00
2Yr
13.50
13.00
0.00
5yr
14.00
13.65
0.00
10yr
14.30
14.10
0.00
15yr
14.30
14.00
0.00
20yr
14.50
14.00
0.00
25yr
14.50
14.20
0.00
Below are details of the two-way quotes for the infrastructure bonds and the key rates:
Indicative Two-Way Quotes - IFB Series
IFB series
Maturity
Bid (%)
Offer (%)
Mov (t-t0)%
IFB1/2017/7 (IFB13)
Nov-24
13.20
12.70
0.00
IFB1/2016/9 (IFB10)
May-25
13.20
13.00
0.00
IFB1/2015/12 (IFB8)
Mar-27
13.30
13.00
0.00
IFB1/2017/12 (IFB12)
Feb-29
13.50
13.00
0.00
IFB1/2016/15 (IFB11)
Oct-31
13.50
13.00
0.00
IFB1/2018/15 (IFB14)
Jan-33
14.00
13.70
0.00
IFB1/2018/20 (IFB15)
Oct-38
14.20
13.80
0.00
IFB1/2019/25 (IFB16)
Feb-44
14.20
13.80
0.00
IFB1/2019/16 (IFB17)
Oct-35
14.00
13.70
0.00
IFB1/2020/9 (IFB18)
Apr-29
13.20
12.70
0.00
IFB1/2020/6 (IFB19)
May-26
12.70
12.00
0.00
IFB1/2020/11 (IFB20)
Aug-31
14.00
13.70
0.00
IFB1/2021/16 (IFB21)
Jan-37
14.00
13.60
0.00
IFB1/2021/18 (IFB22)
Mar-39
14.00
13.60
0.00
IFB1/2021/21 (IFB23)
Aug-42
14.20
13.80
0.00
IFB1/2022/19 (IFB24)
Jan-41
14.00
13.50
0.00
IFB1/2022/18 (IFB25)
May-40
14.00
13.70
0.00
IFB1/2022/14 (IFB26)
Oct-36
13.80
13.70
0.00
IFB1/2022/6 (IFB27)
Nov-28
13.30
13.20
0.00
IFB1/2023/17 (IFB28)
Feb-40
14.40
14.30
-0.03
Key Interest Rates
Mov (bps)
O/N Interbank
8.7304%
5.89
91 Day T-bill
10.072%
6.80
182 Day T-bill
10.428%
6.00
364 Day T-bill
10.932%
7.50
Central Bank Rate (CBR)
9.50%
75.00
Inflation
9.19%
-4.00
Attached are the bond positions available today and the FXD1/2022/3Yr bond auction results.
