Bonds
Third IIB tender for 2014 sees new 2030 linkers receive a successful weighted average yield of 3.0116%
10th Apr 14, 2:17pm
by
The results from the latest inflation indexed bond offer by the Treasury's Debt Management Office have been released.
The coverage ratio was marginally lower than the previous tender in March at 2.225 times and this continues the recent trend which sees the value of bids received gradually declining from 2013 levels.
With the latest CPI number coming in at 1.6% pa. this would give the IIB's an indication nominal yield of approxinately 4.61%.
The current yield on the NZ government bond with the longest duration (maturing in 2023) is approximately 4.50%
| 3.00% - 20 September 2030 | Today #517 | Prior #515 | Prior #513 | Prior #511 | Prior #509 |
| Series offered |
tender Apr 10, 2014 |
tender Mar 14, 2014 |
tender Feb 13, 2014 |
issued Dec 5, 2013 |
issued Nov 21, 2013 |
| Total Amount Offered ($million) | 200 | 200 | 200 | 200 | 200 |
| Total Amount Allocated ($million) | 200 | 200 | 200 | 200 | 200 |
| Total Number of Bids Received | 74 | 67 | 56 | 72 | 32 |
| Total Amount of Bids Received ($million) | 445 | 451 | 473 | 615 | 268 |
| Total Number of Successful Bids | 34 | 25 | 17 | 20 | 25 |
| Highest Yield Accepted (%) | 3.030 | 2.950 | 3.020 | 2.890 | 2.850 |
| Lowest Yield Accepted (%) | 2.980 | 2.880 | 2.955 | 2.840 | 2.670 |
| Highest Yield Rejected (%) | 3.190 | 3.175 | 3.200 | 3.100 | 2.990 |
| Lowest Yield Rejected (%) | 3.030 | 2.950 | 3.020 | 2.890 | 2.850 |
| Weighted Average Accepted Yield (%) | 3.0116 | 2.9257 | 2.9808 | 2.8780 | 2.7552 |
| Weighted Average Rejected Yield (%) | 3.0704 | 2.9884 | 3.0751 | 2.9465 | 2.8862 |
|
Amount Allotted at Highest Accepted Yield as Percentage of Amount Bid at that Yield* |
19 | 16 | 25 | 87 | 44 |
| Coverage Ratio | 2.225 | 2.255 | 2.365 | 3.075 | 1.340 |
*Individual allotments may vary due to rounding.
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