Malaysian Bond Market
Local govvies yields rose across all tenures for the week. At Friday’s 12 noon pricing, the 3-,5-, 7-, 10-, 15-, 20and 30-year benchmark MGS yields settled at 3.32%, 3.5%, 3.78%, 3.86%, 4.27%, 4.48% and 4.74% respectively.
Trading activities reduced this week compared to the previous week where benchmark local govvies registered a trading volume of RM14.89 billion compared to the previous week’s value of RM16.04bil.
Meanwhile, the secondary corporate bonds market recorded heavier trading activities compared to last week.
Week to date, total trading volume was higher at RM2.29bil compared to last week’s RM1.91bil. About 55% of the trading volume was contributed by the GG/AAA, 41% by the AA segment and the remaining 4% by the A segment.
In the GG/AAA segment, notable trades included 2024-2039 DanaInfra Nasional Bhd tranches which closed with yields mixed at 4.27%-4.96% with a trading volume of RM320mil.
There was also interest in 2018-2033 Cagamas tranches which closed with yields mixed at 3.45%-4.94% with a total trading volume of RM230mil.
Also having garnered some interest was 2022-2047 Lembaga Pembiayaan Perumahan Sektor Awam tranches which recorded a trading volume of RM168mil closing with yields mixed at 4.08%-5.18%. Meanwhile, ‘01/32 Rantau Abang Capital bonds closed at yields lower by 5bps at 4.83% with RM50mil changing hands.
Elsewhere in the AA segment, notable trades included 2032-2039 Lebuhraya Duke Fasa 3 tranches which recorded a total trading volume of RM105mil with yields unchanged or lower at 5.05%-5.45%.
Also garnering interest this week were ‘03/23 and ‘05/27 YTL Power International bonds which recorded a collective trading volume of RM93mil where yields traded lower by 4bps at 4.52% and lower by 1bps at 4.86% respectively.
eanwhile, 2025-2027 MMC Corporation tranches recorded lower yields of 5.28%-5.40% with a collective trading volume of RM85mil. 2019-2020 Sabah Credit Corporation tranches recorded yields lower at 4.46%-4.50% with RM60mil changing hands.