Fixed Income Update 07 Mar 2024
KBVS WEEKLY FIXED INCOME UPDATE
Thursday, 7 March 2024
Anticipating The Release of US Labor Market Data
UST2Y yield experienced an increase of +16.07 bps on MoM and +31.43 bps ytd (as of 6 Mar), but decreased by -11.87 bps on a weekly basis and -32.19 bps YoY. UST10Y yield increased +6.03 bps MoM, +28.12 bps ytd (as of 6 Mar) and +20.26 bps YoY, but decreased by -13.11 bps on a weekly basis. As a consequences, UST10Y-UST2Y yield spreads also increased by +52.44 bps YoY, but decreased by -1.24 bps on a weekly basis, -10.04 bps MoM and -3.31 bps ytd (as of 6 Mar).
SUN2Y yield increased +5.90 bps on a weekly basis and +7.00 bps MoM, but decreased by -14.30 bps ytd (as of 6 Mar) and -20.10 bps YoY. SUN10Y yield increased +6.00 bps on a weekly basis, +3.20 bps MoM and +18.50 bps ytd (as of 6 Mar), but decreased -27.50 bps YoY. SUN10Y-SUN2Y Yield spreads increased +0.10 bps on a weekly basis and +32.80 bps ytd (as of 6 Mar), but decreased -3.80 bps MoM and -7.40 bps YoY.
During Mar (as of 5 Mar '24), there has been an increase in the yields of 5-year AAA-rated corporate bonds by +9.66 bps, AA by +2.66 bps, and A by +6.26 bps. At the same time, corporate bonds issuance amounted to IDR1.50 tn, originating from 3 instruments by Chandra Asri with a GO rating of AA-. In Mar ‘24, corporate bonds maturing amount to IDR11.38 tn, IDR12.86 tn in Apr '24, and IDR7.93 tn in May '24.
Regards,
KBVS Research Team