Oversubscription dropped but was still about 2.5 times of the offer at an auction of three-month discount T-bills by the Hungary’s government debt agency ÁKK on Tuesday. ÁKK sold the announced volume, yields fell slightly from a week earlier.
ÁKK sold HUF 50 billion of the bills expiring on August 24, equal to the previously announced amount. Primary dealers submitted bids for HUF 127.2 billion. Demand was still healthy but fell from around HUF 170 billion at the previous two auctions.
The average yield was 5.91%, 1bp under the yield at the previous three-month T-bill auction one week earlier, and 4bp over the yield for the secondary market benchmark, which is about a month longer than the bill that was offered. Yields ranged between 5.89% and 5.93% as against the 5.90%-5.93% range of the previous auction.