[채권] Interest rate declines amid good 3-year bidding

[뉴욕=뉴스핌] Correspondent Kim Min-jung = US Treasury bond rates fell on the 9th (local time). Recently, government bond prices have fallen sharply, leading to an inflow of low-priced buying. The 3-year bidding held on that day was also stronger than expected, supporting the bond market investment sentiment.

According to Reuters, the international benchmark 10-year Treasury bond yield fell 5.0bp (1bp=0.01% points) to 1.5437% as of 3:02 p.m. Eastern Time.

30-year bonds fell 4.7 bp to 2.257%, while 2-year bonds sensitive to policy interest rates rose 0.2 bp to 0.1647%.

Concerns over the recent surge in government bond yields have somewhat calmed down. Treasury Secretary Janet Yellen stressed that US President Joe Biden’s $1.9 trillion additional stimulus package would not trigger inflation the day before.

US Treasury Department.[사진=블룸버그통신] 2021.02.09 [email protected]

The US Treasury Department’s $58 billion 3-year bidding on that day went smoothly. The bid rate was 0.355% and the bid rate was 2.69 times, exceeding the average of 2.40 times.

In a blog post, Action Economics said, “The relatively solid 3-year bidding allowed the government bond market to breathe a sigh of relief.”

In addition, the report diagnosed, “There was a fear that the demand for government bonds was declining after the 7-year bidding,” and said, “But this bidding didn’t have that concept at least today.

The yield curve flattened for two days in a row. The difference in interest rates (spread) for 2-year and 10-year bonds narrowed to 137.9bp.

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