MANILA – The rates of the term deposit facility (TDF) ended mixed on Wednesday even after the Bangko Sentral ng Pilipinas (BSP) excluded the 28-day facility from the auction.
The rate of the seven-day facility rose to 1.8466 percent but the rate of the 14-day TDF declined to 1.8426 percent.
These were at 1.8431 percent for the one-week facility and 1.8492 percent for the two-week facility during the auction last Oct. 7.
Bid coverage ratio of the shortest tenor facility declined to 1.1568 from last week’s 1.1697.
This, after this week’s PHP220-billion offer met with tenders amounting to PHP254.485 billion, relatively higher compared to the PHP233.945 billion worth of tenders last week when this facility was offered for PHP200 billion.
Bid coverage ratio of the 14-day facility also declined after ending this week’s auction at 1.2788 from last week’s 1.5288.
This facility was offered for PHP250 billion, and bids amounted to PHP319.705 billion.
Last week, this tenor was offered for PHP200 billion and tenders amounted to PHP336.33 billion.
In a statement, BSP Deputy Governor Francisco Dakila Jr. said “auction results reflect sustained high levels of liquidity in the financial system.”
“Moving forward, the BSP will continue to review and gradually recalibrate its monetary operations, guided by its assessment of market developments and liquidity conditions,” he added. (PNA)
