Local Government Securities Market
The week ended on a quiet note for the local bond market with lack of fresh leads just pushing players back to the sidelines. Bid-offer spreads were wide throughout the day and voice brokers were just quiet throughout the day. Yields were just sideways as total volume of deals muted to just around Php 6 Bn today vs. previous 3 days' daily average of around Php 15 Bn.
Week-on-week, yields just ended sideways as local bonds followed US Treasuries' movement. Early in the week, yields dropped as demand for save haven assets were boosted on uncertainties surrounding the French elections, US-NoKor tensions, and Trump tax reforms. The previous two days' gains, however, were just erased on profit-taking by some investors.