Yields rose sharply both from the previous auction and from the latest secondary market benchmark.
ÁKK raised its sales from an originally offered HUF 60 bln. Primary dealers submitted bids for HUF 178.9 bln of the papers expiring on April 15.
Average yield was 1.84%, 31bp over the yield at the previous auction of the bills held on December 29 and was up 18bp from Monday’s respective secondary market benchmark.
Yields moved in a wide range between 1.55% and 1.90%, suggesting that investors are uncertain about yield prospects.
Yields were rising now for the second auction from an all-time low of 1.33% on December 16.
ÁKK raised its three-month auction offer to HUF 60 bln already at the previous auction after gradually cutting it from HUF 50 bln in September to just HUF 20 bln by the middle of December. The reduced offers of the last three months of 2014, were part of steps to keep government debt as a percentage of GDP dropping as required both by domestic legislation and by the EU.
Producing journalism that is worthy of the name is a costly business. For over 30 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
