Demand for long-end TGBs to fall on the back of rising demand for Formosa bonds
Standard Chartered notes its views on TWD rates as follows.... A neutral policy stance and ample liquidity supports the short end of the curve. We remain constructive on demand for 5Y and 10Y Taiwan Government Bonds (TGB…
Standard Chartered notes its views on TWD rates as follows....
A neutral policy stance and ample liquidity supports the short end of the curve.
We remain constructive on demand for 5Y and 10Y Taiwan Government Bonds (TGBs) but less positive on the long end of the curve as life insurance companies have starting to shift from TGBs to onshore foreign-currency bonds (Formosa bonds) due to regulatory change.
The issuance of CNH Formosa bonds increased significantly to USD 1.4bn in March from USD 300mn in February.
Moreover, YTD US dollar Formosa bond issuance has also risen to USD 9.6bn versus full-year issuance of USD 20.3bn in 2014. We expect demand for long-end TGBs to fall on the back of rising demand for Formosa bonds.
Gold prices edged lower on Monday as stronger-than-expected U.S. nonfarm payrolls data dampened hopes for aggressive Federal Reserve rate cuts, bolstering the dollar. Spot gold slipped 0.1% to $2,686.32 an ounce, while F…
On-chain data shows BTC whales moved 10000 BTC from Crypto exchanges. This indicate accumulation of BTC by whales. Japanese public company Metaplanet buys another 1 billion yen worth of Bitcoin. According to Santiment, t…
Personal income increased by 0.2% month over month In August, which was less than the 0.4% market forecast and less than the 0.3% growth in July. For the third consecutive month, real personal disposable income increased…
