Are you sure?

Demand drops, AKK sells announced HUF 50bn liquidity bills at auction

The Government Debt Management Agency (AKK) sold the announced HUF 50bn of short-term "liquidity bills" in less than twofold oversubscription at an auction on Monday.

 

AKK reoffered HUF 50 billion of a discount T-bill series expiring on July 20 at the auction.

 

Bids totaled HUF 91.8 billion, well down from HUF 139 billion at the previous liquidity bill auction held on May 30.

 

Demand for the shortest-term bills, offered on a case by case basis, depending on the budget's liquidity needs, was the lowest since the HUF 69.4 billion bids on February 14.

 

Average yield at the auction was 5.95%, up one basis point from the yield at the previous auction held one week earlier. The closest, three-month benchmark, calculated for bills expiring on September 21, stood at 5.89% on Friday.

 

AKK invites liquidity bill auctions, offering short-term discount T-bills, usually of about six weeks remaining to maturity, on a case by case basis, depending on the budget's liquidity needs.

 

The auction was the ninth liquidity bill auction since the start of this year.