T Bill yields improves nominally in Auction – Alfalah Securities Limited

Karachi, November 29, 2012 (PPI-OT): State Bank of Pakistan has accepted bids worth of PKR 155.176 billion out of the total received bids of PKR 221.38 billion in yesterday’s Treasury bill auction where the cut-off rates have witnessed some improvement between 1 to 4 basis points.

According to Alfalah Securities Limited, the cut-off yield on 3M and 6M papers increased by 4 and 2 bps to 9.3207% and 9.3401% respectively, while the 12M Tbill cut-off yields also inched up by 1 bps to 9.3870%. The interest rates are likely to be lowered in response to the expectation of a cut in discount rate in the next monetary policy after the inflation has further eased off significantly.