Bond Market Insight -- The MoF fixed rates
At yesterday's auction, the MoF fixed its new interest rates for 12-month and 3-year bonds: the 12-month at 14.35% and the 3-year rate at 14.50%, the lowest levels compared to those at previous auctions for similar bonds. The MoF also decreased the cut-off rate for the 12-month bond last week, while the 3-year bond cut-off rate was at 14.54% for a few weeks while demand was mostly lower. All demand yesterday was low and the MoF had to decrease rates.
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