So the next 6-month T-Bills auction is on 1 Feb. Unfortunately, after closing as high as 4.07% a few months ago. T-Bills yields have since dropped to 3.70%. US interest rates have also plunged since late October – with the market pricing in a whopping 6 interest rate cuts in 2024. While this week’s 1-year T-Bills saw very high demand – that we may see spill over to the 6-month T-Bills (especially for those who were unsuccessful in their bidding). This raises a couple of questions:

1. What is the estimated yield on the next 6-month T-Bills?
2. Are money market funds a better buy than T-Bills?

Next T-Bills auction is on 1 Feb (Thursday) – (BS24102S 6-Month T-bill) First off – next 6 months T-Bills auction is on 1 Feb (Thurs). This means that:

• If you’re applying in cash do apply by 9pm on 31 Jan (Wed)
• If you’re applying using CPF-OA do apply by 30 Jan (Tue)

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