The cut-off yield for the latest 6-month Singapore T-bill auction on 4 December rose to 1.41% p.a.
What happened?
The results of the latest Singapore T-bill auction are out.
In the auction on 4 December, the cut off yield for the 6-month Singapore T-bill (BS25124F) increased to 1.41% from 1.39% in the previous T-bill auction.
With the fall in US government bond yields in the past two weeks, the latest result may be a surprise to some investors.
In this article, I'll look at what is driving the increase in T-bill yield, as well as how it compares to the best fixed deposit rates as a place to park your cash to earn a higher yield.
What we learnt from the latest 6-month Singapore T-bill auction
#1 - Demand for the Singapore T-bill fell further
Total applications for the 6-month Singapore T-bill fell to S$16.3 billion in the latest auction on 4 December from S$16.9 billion on 20 November....