Bond Market Moves in Varied Direction ahead of FOMC Meeting
14 March 2017 11:44 WIB
TEMPO.CO, Jakarta - Indonesia's bond market is expected to move in varied directions ahead of the US' Federal Open Market Committee (FOMC) meeting.
Binaartha Sekuritas's analyst Reza Priyambada said that a number of declining yields shows that some bonds will move positively albeit limited.
On Tuesday, March 14, Reza estimated that market players will continue to keep an eye on sentiments and bond movements ahead of the FOMC meeting, which is scheduled for March 14-15.
According to Reza, some bonds—especially government bonds (SUN)—are showing price improvements. This is apparent in the increasing SUN prices and declining yields. Even long-term bonds have seen yields declining.
On Monday, March 13, the average SUN price recorded at the INDOBeX Government Clean Price fell 0.02 bps to 112.498 percent. Meanwhile, corporate bond prices listed at the INDOBeX Corporate Clean Price fell 0.04 bps to 106.74 percent.
Today, the government is offering five series of government bonds with an indicative value of Rp15 trillion and a proceeds target of 22.5 trillion. The series are the SPN03170615 and SPN12180301 (new issuance); and the FR0061, FR0074, and FR0072 (re-issuance).
VINDRY FLORENTIN
