Banks shun BSP’s anti-inflation auction on rate hike prospects
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Financial institutions shied away from the central bank's short term borrowing windowon Wednesday amid divided market opinion on whether regulators would raise interest rates when the policy making Monetary Board meets to decide on interest rateson Thursday.Banks shun BSP’s anti-inflation auction on rate hike prospects
Financial institutions shied away from the central bank's short term borrowing windowon Wednesday amid divided market opinion on whether regulators would raise interest rates when the policy making Monetary Board meets to decide on interest rateson Thursday. Given the uncertainty on whether the Bangko Sentral ng Pilipinas (BSP) would implement another round of policy tightening amid indications of plateauing inflation, banks submitted fewer bids during the weekly auction for short term deposit instruments. On Wednesday, financial institutions pushed interest rates higher on the seven-, 14- and 28-day instruments amid weak demand for all three tenors. The total volume for the entire ...Keep on reading: Banks shun BSP’s anti-inflation auction on rate hike prospects Read more