Government Bond Highlights
At the auction of the government bonds (SBN) dated 09/25/2018, the Indonesian government absorbed the funds of IDR20 trillion from the incoming bid of IDR51.5353 trillion. The amount absorbed was higher than the indicative target of IDR4 trillion. SPN03181226 with one year tenor secured the highest bid of IDR15 trillion. Indonesia Composite Bond Index (ICBI) closed finished on a high note by 0.58% to 233.64.
The SBN market closed higher last week. The rally was on the back of the positive responses to the hike in BI’s benchmark rates. The four series rallied, led by the biggest rally posted by FR0065 with the 15-year tenor. Meanwhile, yields of FR0075 edged down by 15 bps to 8.29%. From Monday, September 24th to the last trading session of Thursday, September 27th, foreign investors posted the net buy of IDR8.85 trillion.
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