Little Push

The Central Bank
quote s Public Debt Dept. has issued strict guidelines to putting minimum limits for primary dealers to bid at treasury bond auctions.
rnBeginning this week, dealers are required to subscribe to a minimum 15 percent of the amount offered for each maturity at every bond auction.rn

rnThe ruling come after last week
quote s bond auction saw very little takers. There is presently very little market appetite for bonds with longer tenures.rn

rnMeanwhile, two year bond rates picked up 12 basis points to 13.91 percent at today
quote s auction. The Central Bank said it offered and accepted bids for Rs. 2.000 bn despite receiving offers for Rs. 8.572 bn.rn