Market participants are again interested in medium and long tenor Government Securities (SUN). FR0088 still recorded yield inversion with FR0087, amidst the high volatility of FR0087 compared to other benchmark series. Benchmark 15-year government bonds posted a yield decline of more than 2.5 bps to 6.30%. Meanwhile, investors are eyeing the 20-year benchmark which offers yields at the psychological 7% level. The decline in foreign exchange reserves (cadev) has the potential to affect economic stability, which is currently recovering. The disrupted economic recovery has made investors return to interest in the safe-haven government bonds rather than investing in stocks.

Download full report HERE.