After last week’s article on Singapore Savings Bonds, I received a very interesting question: “With central banks raising interest rates across the globe are we likely to see a 3% (year 1) Singapore Savings Bond? Are there chances that we may see an average of a 5% SSB?” Now the answer is not so straightforward because it requires an understanding of how short term interest rates will move in the months ahead. And because of how the Singapore Savings Bond curve is derived, it also requires a prediction on long term interest rates. The more I thought about it, the more I found this to be quite an intriguing question. So I wanted to pen an article to share some quick thoughts. T-Bills (6 months) already yield close to 3% First off – T-Bills, basically Singapore Government Securities of a short term tenure – already yield close to 3%. Here’s the latest T-Bills auction for 6-month tenure, they closed at 2.98%....