What happened?
Many investors are eyeing the Singapore T-bill once again after the
cut-off yield reached 3.95% in the previous auction. However, some would have noticed that US bond yields fell sharply in recent days after the Fed kept interest rates unchanged in its latest meeting. This led to questions on whether the
upcoming 6-month T-bill auction (BS23122F) on 8 November 2023 will offer a similarly attractive yield. Let us look at what the latest indicators are telling us on whether it might still be worthwhile applying for 6-month Singapore T-bill. Source: MAS
Will the yield on the 6-month Singapore T-bill fall?
#1 – US bond yields fell sharply after Fed meeting
US government bond yields declined in recent days after
investors gained confidence that the Fed might be done with hiking interest rates. In the latest meeting in November, the
Fed kept its benchmark interest rate unchanged at...
