The closing yield on the 6-month Singapore T-bill has been stable at 3.71% even as US government bond yields stay elevated. What happened? The cut-off yield on the Singapore 6-month T-bill has fallen to reach 3.70% in the auction on 31 August from a recent high of 3.99% on 6 July. The decline in the yield on the 6-month Singapore T-bill came despite elevated US government bond yields. Earlier this week, the US 2-year government bond yield rose to above 5% again, as stronger than expected services data raised concerns over the potential for additional rate hikes. Naturally, there have been many questions about whether we will see a further decline in the 6-month Singapore T-bill yield in the upcoming auction (BS23118S) on 14 September 2023. Let us look at what the latest indicators are telling us on whether it might be worthwhile to apply for the upcoming 6-month Singapore T-bill auction....