New Record Low for 91-day T-bill rate

Treasury Bill Auctions

Yesterday, the 91-day Treasury bill rate dropped to 3.008% a new record low. This was from the 3.171% recorded at the January 22 auction.

Treasury officials increased the award as it was reported that the T-bill sale was seven times oversubscribed amid liiquidity and abscence of instruments where the market can excess funds.

* the 91 day t-bill is used by banks as a benchmark for loan rates

182 -day t-bill 3.473% from 3.665%
364 -day t-bill 3.998% from 4.218%

Total awards amounted to PhP 5.6bn or PhP 1.6bn over the Php 4 bn offered.

Reference : The Philippine Star; Business pages



The day's market - February 6, 2007

The Philippine stock market started strong and broke above the 3,300 level early on the trading day. The PSEi was up by about 27 points at one time and reached an intraday high of 3,282.02.

Selling pressure however was felt by midtrading and prompted a correction. The market ended lower by 9.93 points (-0.30%) to close the day at 3,271.97. This reversal could signal a minor pullback after the 6th straight session of advancing.

The market is likely to consolidate between the 3,250 - 3,300 level as it needs a stronger base before advancing further to try to test the all time high level at around 3,447 which was achieved on February 1997.

* FLI resumed trading after completion of its secondary offering at PhP 1.605. It closed for the day at PhP 1.82 after opening at Php 1.80 reaching a high of PhP 1.92