A Singapore Treasury Bill issue (BS24108V) will be auctioned on Thursday, 25th April 2024.
If you wish to subscribe successfully, get your order via Internet banking (Cash, SRS, CPF-OA, CPF-SA) or in person (CPF) by 24th April.
You can view the details at MAS here.
In the past, I have shared with you the virtues of the Singapore T-bills, their ideal uses, and how to subscribe to them here: How to Buy Singapore 6-Month Treasury Bills (T-Bills) or 1-Year SGS Bonds.
The Tbill cut-off yield in the last auction is 3.75%.
If you select a non-competitive bid, you may be pro-rated the amount you bid and would yield 3.80%. If you would like to ensure you secured all that you bid, it will be better to select a competitive bid, but you need to get your bid right.
Some past non-competitive auctions were pro-rated. Here are some past examples:
In competitive bidding, if your bid is lower than the eventual cut-off yield (in the example below), you will get 100% of what you bid for at the cut-off yield (not the lower yield that you bid for).
Gaining Insights About the Upcoming Singapore T-bill Yield from the Daily Closing Yield of Existing Singapore T-bills.
The table below shows the current interest yield the six-month Singapore T-bills is trading at:
The daily yield at closing gives us a rough indication of how much the 6-month Singapore T-bill will trade at the end of the month. From the daily yield at closing, we should expect the upcoming T-bill yield to trade close to the yield of the last issue.
Currently, the 6-month Singapore T-bills are trading close to a yield of 3.75%, similar to our observation two weeks ago.
Gaining Insights About
