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Free Access20-Year Bond Sale Could Set Record Low Yield
The Taiwan finance ministry will sell TWD35bn 20-year bonds today, results due at 0430GMT/1230CST.
- The previous 20-year auction was held on September 15, the issue drew a record low yield of 0.509% with a bid/cover of 2.16. The auction size was slightly smaller at TWD 30bn. A Bloomberg survey estimates today's sale will see a new record low yield of 0.399%.
- The finance ministry announced yesterday plans for bond issuance in 2021; Taiwan plans 19 bond sales in 2021, 1 more than 2020.
- The nominal amount of debt sales may be larger in 2021 in order to finance the special budget, according to the ministry.
- Taiwan plans TWD 160bn of sales from 5 issues in Q1, around TWD 10bn higher than the same period in 2020. Approximately TWD 170bn of bonds will roll off in Q1 2021.
Breakdown:
- 2-Year: 1 sale
- 5-year: 4 sales
- 7-year special: 1 sale (first sale of special bonds since 2013)
- 10-year: 7 sales
- 20-year: 4 sales
- 30-year: 2 sales
To read the full story
Sign up now for free trial access to this content.
Please enter your details below.
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.